LS Cable & System logged its highest-ever results last year, buoyed by expanded global power grid investment and rising demand for artificial intelligence (AI) infrastructure.
LS Cable & System said on the 30th that last year it posted 7.5882 trillion won in sales and 279.8 billion won in operating profit on a consolidation basis. Compared with a year earlier, sales rose 12.2% and operating profit increased 1.9%, both setting new records.
The company said expanded demand centered on high-voltage direct current (HVDC) and submarine cables drove earnings growth. As of the end of last year, the order backlog stood at about 7.63 trillion won, up 22% from a year earlier, also an all-time high.
Subsidiary results improved in tandem. LS Eco Energy recorded 960.1 billion won in sales and 66.8 billion won in operating profit last year, up 10.5% and 49.2%, respectively, from a year earlier. Expansion in power infrastructure demand for AI data centers in ASEAN and increased cross-selling to North America and Europe are seen as contributing factors.
LS Marine Solution also benefited from increased installation of submarine cables for offshore wind farms, with sales reaching 244.2 billion won, up 87.4% from a year earlier.
LS Cable & System is also accelerating the expansion of global production bases and the strengthening of its supply chain. It is building a submarine cable plant in the United States and a bus duct plant in Mexico. It is also pursuing cooperation with Lynas in Australia to secure a rare earth supply chain outside China.
An LS Cable & System official said, "As the importance of energy security grows, the value of capabilities to execute large-scale power grid projects is increasing," adding, "We will maintain our growth trajectory with a goal of achieving 10 trillion won in sales by 2030."