LG Chem Ltd., a leading South Korean chemical maker headquartered in Seoul, has reportedly announced that it aims to elevate its sales to more than ₩60 trillion (~$50.1 billion) by the end of 2030. The goal announcement comes as the company expedites its green transition push with a particular focus on advanced materials and renewable energy.
While laying out its mid-to long-term business strategy in a regulatory filings, LG Chem stated that it is looking to achieve sales of more than ₩40 trillion (~$33.39 billion) annually by 2026.
However, the stated target figures exclude the company’s two subsidiaries; LG Energy Solution Ltd., its battery-making unit, and LG FarmHannong Co., which makes fertilizers and crop protection products.
The company stated that it would look to generate somewhere between ₩12 trillion (~$10 billion) won and ₩30 trillion (~$25.04 billion) in sales by the end of 2026 and 2030, respectively. It would be drawing in this income from its three core businesses; battery materials, pharmaceuticals, and bio and renewable energy materials.
For 2022, LG has set its annual sales target to ₩27 trillion (~$22.53 billion), up approximately 4 % from 2021, where ₩20.7 trillion (~$17.27 billion) would come from petrochemicals, and ₩6 trillion (~$5 billion) would come from its advanced materials unit, the company claimed in a press release. For the record, the number excludes the ₩19.2 trillion (~$16 billion) target it has set for the LG Energy Solution arm.
This year, the company also plans to spend ₩4.1 trillion (~$3.43billion) on capital expenditures with an aim of maintaining the amount through the course of the next eight years.
For the fourth quarter Q4, the firm swayed to black from a year prior, posting a net income of ₩336.8 billion (~$281 million), compared to a loss of approximately ₩343.4 billion (~$286 million).
Meanwhile, operating profit hit the ₩748.4 billion (~$624 million) for the period between October-December, over six-fold from the previous year, while sales went up 23% to more than ₩10.94 trillion (~9.1 billion).