LG Electronics India Limited plans to add automotive electronics to its business portfolio after its board approved a proposed Vehicle Solutions business, a move that would widen its business-to-business operations if shareholders agree.
The proposal covers in-vehicle displays, infotainment, telematics, connectivity, vehicle computing and software. LG plans to manufacture the products at its third plant in Sri City, Andhra Pradesh. Shareholders must approve a change to the company’s memorandum of association through a postal ballot before the proposal can proceed.
The board filing gives no investment amount or sales forecast for the proposed line. It says planned spending will reflect the scale of operations and the business’s technology, equipment, regulatory and market requirements.
Vehicle Solutions would add an automotive line to LG’s existing business-to-business (B2B) operations, which include Information Display. On the company’s Q2 earnings call, management said B2B accounts for about 10% to 12% of revenue and set a goal of raising that share to more than 15% over the next three years.
For the quarter ended Sept. 30, 2026, revenue from operations rose 19.5% year over year to ₹73.80 billion. Earnings before interest, taxes, depreciation and amortization (EBITDA) increased 28% to ₹7.01 billion, and profit after tax climbed 25.7% to ₹4.89 billion.
Home Appliances & Air Solution revenue grew 20.9% to ₹47.72 billion, while Home Entertainment revenue rose 17.2% to ₹26.08 billion. LG said growth extended across its mass-market and premium products, including the LG Essential Series and French Door Refrigerators. The company also reported strong growth in its Information Display business.
LG’s EBITDA margin was 9.5%, up 63 basis points from a year earlier but down from 12.5% in the June quarter. The company said it is monitoring commodity costs and exchange-rate movements, with localization, pricing adjustments and efficiency measures among its responses.
LG reaffirmed its FY27 targets of mid-teens revenue growth and an early double-digit EBITDA margin. It also expects compressor manufacturing at Sri City to begin in Q3 FY27. The postal ballot is the next stated approval step for the Vehicle Solutions proposal.
