First Read LG Energy Solution: Momentum across mobility and storage

研报英文原文证据摘录

First Read LG Energy Solution: Momentum across mobility and storage

Global Research

30 July 2026ab

First Read

EquitiesLG Energy Solution

Momentum across mobility and storage Korea

Chemicals, Specialty

12-month rating Buy

Q: How did the results compare vs expectations?

Prelim results released in early July were below expectations due to high fixed cost with 12m price target Won530,000

BESS scaling. Sequentially, 2Q revenue rose 15%, supported by a 30% increase in BESS,

rising utilization in the EU and continued cylindrical momentum. The BESS order book

Price (29 Jul 2026) Won300,500

increased Won3tn ( 15-20 GWh) including contracts with hyperscalers. As we recently

highlighted, behind-the-meter hyperscaler solutions- including battery back up (BBU), RIC: 373220.KS BBG: 373220 KS

uninterrupted power supply (UPS) and load buffering, are a growth focus. In our view, Trading data and key metrics

hyperscalers are attractive customers as speed-to-power and reliability take precedence

52-wk range Won514,000-300,500

over price.

Market cap. Won70,317b/US$48.4b

Shares o/s 234m (ORD)

Q: What were the most noteworthy areas in the results?

Free float 9%

Europe pouch utilization improved on affordable chemistry (mid-nickel / LFP) volumes

Avg. daily volume ('000) 474

and should accelerate in 2H26. EU utilization and profitability has struggled for several

years; the pivot to affordable chemistry should drive a turnaround. Cylindrical volumes Avg. daily value (m) Won189,596.7

also showed several quarters of momentum on Tesla EU recover, Model Y L launch and Common s/h equity (12/26E) Won20155b

Asia long-range vehicle strength. The company's Nanjing cylindrical production hub P/BV (12/26E) 3.5x

should reach full utilization in 2H26.