Yesterday, according to report, LG Household & Health Care (LG H&H) has officially dissolved its gene analysis subsidiary, Migenstory, citing limitations in expanding the service.
According to industry sources, LG H&H ended Migenstory’s gene analysis operations and liquidated the company in May. The move marks the end of a venture that began in December 2016 as a joint investment with genomics firm Macrogen. The two companies initially launched Migenstory with 6 billion KRW in capital and an equal 50:50 ownership split. LG H&H later acquired full ownership in 2019, turning Migenstory into a wholly owned subsidiary.
Migenstory provided genetic analysis services for individuals’ skin and hair to offer personalized cosmetics and health supplements. Although there was initial enthusiasm for such services—especially after the Korean government allowed customized cosmetic manufacturing and sales to boost industry competitiveness—the momentum proved short-lived due to funding and staffing challenges.
Since its inception, Migenstory struggled financially. The company posted zero revenue and an operating loss of approximately 1.31 billion KRW in 2019. While sales gradually increased in subsequent years—reaching 362 million KRW in 2022—they remained modest. In 2024, revenue fell to just 33 million KRW with a widened operating loss of 863 million KRW.
Despite not generating massive deficits, Migenstory became a burden on LG H&H, which has also faced declining performance in recent years. The company’s annual revenue shrank for the first time in 18 years in 2022, while its consolidated operating profit fell from 1.29 trillion KRW in 2021 to 459 billion KRW in 2024.
An LG H&H spokesperson stated, “We concluded that there were limits to expanding the gene analysis service and decided to proceed with liquidation.”
