LG Household & Health Care Posts Q4 Loss After Voluntary Retirements Weigh In
Creatrip Team
a month ago
LG Household & Health Care reported a fourth-quarter operating loss of KRW 72.7 billion after one-off costs from voluntary retirement and other workforce efficiency measures. Q4 consolidated sales fell 8.5% year-on-year to KRW 1.4728 trillion, and annual operating profit dropped 62.8% to KRW 170.7 billion on sales of KRW 6.3555 trillion. Overseas sales rose in the US and Japan but fell sharply in China, pulling overall international revenue down 5.0% in Q4. By division, Beauty swung to an operating loss (Q4 sales KRW 566.3 billion) amid distribution channel adjustments and large one-time costs despite stronger overseas performance for brands like The Face Shop and VDL; Home Care & Daily Beauty (HDB) saw slight sales growth and modest profit decline driven by expanded marketing for Dr. Groot and Usimall; Beverage sales dropped and turned to an operating loss as one-off personnel costs and weak domestic demand hit results. The company plans to focus on digital commerce, H&B (health & beauty) stores, and growth in North America and Japan while pursuing a “Science Driven Beauty & Wellness Company” strategy and single-digit revenue growth this year.
