LG Electronics India slips on margin pressure from input costs, weak rupee

LG Electronics India

22/05/2026 06:32

** Shares of LG Electronics India LGEL.NS fall 3.5% to 1,476.60 rupees

** LGEL saw higher commodity prices and a weak rupee in Q4, which caused EBITDA to fall 9.8% to 9.45 billion rupees

     ** "We expect further pressure on margins in Q1 due to higher commodity costs linked to Iran war", said Harshit Kapadia, analyst at Elara Capital adding that inflation risks can also hit discretionary spending

**Profit dropped 8% for Q4, while AC and home appliances demand powered 8% growth in overall revenue

** Executives told Reuters in an interview that co expects fiscal 2027 revenue growth in the mid-teen percentage range, after reporting a 1% rise y/y

** They said co is stepping up domestic production and sourcing to mitigate geopolitical and cost risks

** LGEL rated "buy" on average by 25 brokerage firms, median PT is 1,780 rupees - data compiled by LSEG

** LGEL turns negative YTD, down ~3%

 (Reporting by Urvi Dugar in Bengaluru)

 ((UrviManoj.Dugar@thomsonreuters.com;))