LG H&H (051900) Q1 2026 earnings summary

Executive summary

• 1Q26 sales reached 1,577bn KRW, down 7.1% year-over-year, with operating profit at 108bn KRW, a 24.3% decline year-over-year.

• Overseas sales grew 0.9% year-over-year, now comprising 34% of total sales, with notable growth in North America (+35%).

• All business segments saw year-over-year sales and operating profit declines, with Beauty segment most impacted.

Financial highlights

• Gross profit decreased 7.4% year-over-year to 813bn KRW.

• Net profit fell 14.2% year-over-year to 89bn KRW.

• Operating profit margin dropped from 8.4% to 6.8% year-over-year.

• Cash and equivalents increased by 149bn KRW from December 2025 to March 2026.

Outlook and guidance

• Focus on expanding overseas, especially in North America and Japan, leveraging hero brands and new product launches.

• Continued investment in R&D and marketing to enhance brand value and competitiveness.