Industry Revenues:

• Petrochemicals: approx. 40%
• Batteries: approx. 35%
• Advanced Materials: approx. 15%
• Life Sciences: approx. 10%

TOP 3 Markets:

• South Korea: approx. 30%
• USA: approx. 25%
• China: approx. 20%

LG Chem, Ltd. generates a significant portion of its revenues from petrochemicals, followed by battery production, which is experiencing strong growth due to increasing demand for electric vehicles and energy storage systems. Advanced Materials and Life Sciences also contribute to the revenue, but to a lesser extent.

Geographically, South Korea is the largest market for LG Chem, followed by the USA and China. These markets are crucial for the company as they have both a strong industrial base and high demand for LG Chem's products. The strategic focus on these markets helps the company strengthen its global presence and benefit from growth opportunities in these regions.

LG Chem Production Sites:

1. South Korea: Main production sites are located in Yeosu, Daesan, and Ochang.
2. China: Several plants, including in Nanjing and Huizhou.
3. USA: Production facilities in Michigan for batteries.
4. Poland: Plant in Wrocław, specifically for batteries.
5. India: Production site in Gujarat.

LG Chem operates numerous production sites worldwide to manufacture its wide range of products, from petrochemicals to advanced batteries. These strategically located sites enable the company to efficiently respond to global demand and strengthen its market presence.

Revenue Growth: Estimated 10% annually until 2025
Investments in R&D: Over 1 billion USD annually (estimated 2025)
Expansion of Battery Capacity: Planned capacity of 100 GWh by 2025

LG Chem, Ltd. is pursuing a growth strategy that heavily focuses on expanding in the battery technology and sustainable materials sector. The company is investing significantly in research and development to strengthen its position in the electric vehicle battery market.

A significant part of the strategy is increasing battery production capacities to meet the rising demand. LG Chem plans to expand its production capacity to 100 GWh by 2025 to meet the growing requirements of the automotive industry.

Additionally, LG Chem is focusing on developing environmentally friendly materials and solutions to support the global sustainability trend. This includes investments in new technologies and partnerships aimed at diversifying the company's portfolio and enhancing its competitiveness in the global market.

Main Imported Raw Materials: Lithium, Cobalt, Nickel

Countries of Origin:

• Lithium: Australia, Chile
• Cobalt: Democratic Republic of the Congo
• Nickel: Indonesia, Philippines

LG Chem, Ltd. imports a variety of raw materials crucial for the production of batteries and other chemical products. Lithium is mainly sourced from Australia and Chile, as these countries are among the largest producers worldwide. Cobalt, another important raw material, is mostly imported from the Democratic Republic of the Congo, which accounts for over 60% of global cobalt production.

Nickel, which also plays a central role in battery manufacturing, is predominantly imported from Indonesia and the Philippines. These countries are significant suppliers in the global nickel market. LG Chem diversifies its sources of supply to ensure security of supply and to be able to react flexibly to market changes.

Market share in the battery sector: 20% (2024, estimate) R&D expenses: 3.5 trillion KRW (2024) Revenue in the chemical sector: 30 trillion KRW (2024)

LG Chem, Ltd. has a significant competitive advantage, especially in the field of battery technology. With an estimated market share of 20% in the electric vehicle battery sector, the company is among the leading providers worldwide. This is supported by substantial investments in research and development, amounting to approximately 3.5 trillion KRW in 2024.

In the chemical sector, LG Chem also maintains a strong position, with a revenue of 30 trillion KRW in 2024. Diversification into various business areas, such as petrochemicals and advanced materials, helps to spread risk and strengthen market position.

Additionally, LG Chem benefits from strategic partnerships and joint ventures that facilitate access to new markets and technologies. These factors together give the company a sustainable competitive advantage in the industry.

Institutional Investor Share: Approx. 45% (estimated for 2025)

Insider Buys/Sells: No significant changes reported (as of 2025)

The institutional investor share in LG Chem, Ltd. typically ranges around 40-50%, based on historical data and typical market trends for large Korean companies. These investors include pension funds, investment funds, and other major financial institutions.

Regarding insider buys and sells, there are no current reports of significant transactions indicating a change in insiders' confidence in the company. Such transactions are often closely monitored as they can provide clues about the company's future performance.

Market share of LG Chem, Ltd.: 12% (2025, estimated)

Top competitors and their market shares:

1. Contemporary Amperex Technology Co. Limited (CATL): 25%
2. BYD Company Limited: 18%
3. Panasonic Corporation: 15%
4. LG Chem, Ltd.: 12%
5. Samsung SDI Co., Ltd.: 10%
6. SK Innovation Co., Ltd.: 8%
7. Toshiba Corporation: 6%
8. A123 Systems LLC: 4%
9. GS Yuasa Corporation: 2%

Moat of LG Chem:

LG Chem has a significant moat due to its strong position in battery technology, especially in lithium-ion batteries for electric vehicles. The company benefits from extensive research and development investments, a wide range of products, and strategic partnerships with leading automakers.

Despite these advantages, they face intense competition from companies like CATL and BYD, which also have strong research and development capabilities and extensive production capacities. CATL has the largest market share and a significant moat due to its cost-efficient production and strong relationships with global automakers.

While LG Chem has a solid moat, competition in the industry is intense, and the ability to quickly implement innovations and expand production capacities will be crucial for long-term success.

Revenue Growth: 10% (2024) Profit Growth: 8% (2024) R&D Expenses: 4.5% of revenue (2024)

LG Chem, Ltd. recorded a revenue growth of 10% in 2024, driven by strong demand for its chemical products and expansion into new markets. Profit growth was at 8%, indicating efficient cost controls and improved operational efficiency.

The company continues to invest significantly in research and development, with expenses accounting for 4.5% of revenue. These investments are crucial for the development of new products and technologies, especially in the field of battery technology and sustainable materials, offering long-term growth potential.

In summary, LG Chem, Ltd. demonstrates solid financial metrics and a strategic focus on promising technologies, making the stock a potentially good investment for long-term oriented investors.

Dividend Yield: 2.5% (estimated for 2025)
Dividend History: Consistent payout over the last 5 years

LG Chem, Ltd. has regularly distributed dividends in recent years, indicating a reliable dividend policy. The estimated dividend yield for 2025 is around 2.5%, based on the latest available data and past payouts.

The company has a solid financial foundation and a diversified product range, contributing to the stability of dividends. Analysts expect LG Chem to continue its dividend policy unless significant economic or company-specific challenges arise.