[Digital Today reporter Daegeon Seok (석대건)] LG Energy Solution said on Tuesday it posted 7.56 trillion won in revenue and 113.3 billion won in operating profit for the second quarter of 2026.

Revenue rose 24.8 percent from a year earlier, while operating profit fell 77.0 percent. From the previous quarter, revenue increased 15.3 percent and operating profit returned to the black.

The operating profit figure includes the effect of production subsidies under the U.S. Inflation Reduction Act (IRA). LG Energy Solution is receiving tax credits under the IRA's Advanced Manufacturing Production Credit, known as 45X.

The tax credit for the second quarter totalled 241.0 billion won. Excluding that amount, revenue would be 7.32 trillion won and operating profit would turn into an operating loss of 127.7 billion won. The operating margin would be minus 1.7 percent.

Based on results excluding subsidies, the second-quarter business was in the red. The tax credit acted as the factor separating profit from loss.

Cumulative results for the first half were also weak. First-half revenue was 14.12 trillion won, up 10.5 percent from a year earlier, but operating profit came to an operating loss of 94.5 billion won. Operating profit for the first half of last year was 866.8 billion won. It swung from profit to loss in a year.

LG Energy Solution also said it changed the accounting presentation of North American production subsidies starting in the first quarter of this year. As a result, disclosed financial statements show the amount including North American production subsidies under 'sales and other income'.