Today, LG Household & Health Care (LG) released its financial report for the second quarter of 2024 and its performance for the first half of the year. In the second quarter of 2024, LG’s sales amounted to KRW 1.76 trillion ($1.27 billion), a year-on-year decrease of 2.7%. Operating profit slightly increased by 0.4% to KRW 159 billion ($114.7 million).
For the first half of 2024, LG’s sales totaled KRW 3.488 trillion ($2.52 billion), a slight year-on-year decline of 0.1%. Operating profit increased by 1.9% to KRW 310 billion ($223.6 million).
Breaking down the performance by department, the Beauty department recorded sales of KRW 760 billion ($548.3 million) in the second quarter, a year-on-year decrease of 2.7%. For the first half of the year, sales reached KRW 1.501 trillion ($1.08 billion), a year-on-year increase of 1.3%. LG Household & Health Care stated that the decrease in sales was due to slow growth in DFS, while sales in China and major domestic channels in Korea increased. The growth of the Whoo brand, driven by strong online sales in China, was noteworthy. DFS, which accounts for 24% of the “Beauty” business, declined due to a high base, while online and H&B businesses in Korea saw growth. It is notable that the Whoo brand accounted for 53% of the Beauty department’s sales.
The HDB (Home Care & Daily Beauty) department saw second-quarter sales of KRW 521 billion ($375.9 million), a year-on-year decrease of 4.5%. First-half sales totaled KRW 1.075 trillion ($775.5 billion), down 3.1% year-on-year. LG Household & Health Care attributed the decline in sales to overseas restructuring, although premium brands experienced growth. Key brands “Physiogel,” “Dr. Groot,” and “Euthymol” achieved steady growth.
By region, in the second quarter of 2024, LG’s overseas sales amounted to KRW 520 billion, a year-on-year decrease of 1.7%, accounting for 30% of total sales. Among them, sales in the Chinese market reached KRW 202 billion ($145.7 million), an increase of 5.5%, while sales in the North American and Japanese markets were KRW 132 billion ($95.2 million) and KRW 94 billion ($67.8 million), respectively, down 16.6% and 4.7%.
For the first half of 2024, LG’s overseas sales amounted to KRW 1.034 trillion ($746 billion), a year-on-year increase of 0.4%. Sales in China were KRW 415 billion ($299.4 million), up 7.7% year-on-year. Sales in North America amounted to KRW 253 billion ($182.5 million), down 14% year-on-year, and sales in Japan were KRW 187 billion ($134.9 million), a year-on-year decline of 0.8%.
