LG home-appliance revenue rises 20.9% as core products lead

LG’s Home Appliances & Air Solution segment generated Rs 4,772 crore of revenue in Q2’FY27, up 20.9% from Rs 3,948 crore a year earlier, its highest growth since listing, as washing machines, refrigerators and room air conditioners led double-digit momentum. EBIT rose 28.4% to Rs 416 crore and margin expanded to 8.7%.

How fast did LG’s Home Appliances & Air Solution segment grow?

LG’s Home Appliances & Air Solution, or H&A, revenue grew 20.9% year on year to Rs 4,772 crore in Q2’FY27 from Rs 3,948 crore in Q2’FY26. The segment’s Q2 revenue was lower than Rs 5,577 crore in Q1FY27, a 14.4% quarter-on-quarter decline disclosed in LG’s segment results, but was above the Rs 2,788 crore recorded in Q3’FY26.

The Q2’FY27 result made H&A the faster-growing of LG’s two reported segments on a year-on-year revenue basis. Home Entertainment revenue rose 17.2% to Rs 2,608 crore, compared with H&A’s 20.9% increase, while consolidated revenue rose 19.5% to Rs 7,380 crore. LG said the difference between the segment totals and consolidated figures was due to unallocated expenses.

Which products drove LG’s H&A revenue growth?

LG said washing machines, refrigerators and room air conditioners led H&A’s double-digit momentum in Q2’FY27, while dishwashers delivered breakout growth. The segment’s product scope also includes microwave ovens, compressors, water purifiers and air purifiers, but the release specifically identifies the three core appliance categories and dishwashers as contributors to the quarter’s Rs 4,772 crore revenue outcome.

LG attributed the 20.9% increase to a two-track strategy spanning mass-market and premium products. It said the expanding LG Essential range and newly launched chest freezers widened its reach, supporting growth across both customer segments. The company described the Q2’FY27 increase as H&A’s highest growth since listing and said the result strengthened its market leadership across key categories.

The comparison with the preceding quarter shows that product momentum did not prevent a sequential revenue reduction of Rs 805 crore, from Rs 5,577 crore in Q1FY27 to Rs 4,772 crore in Q2’FY27. However, Q2 revenue was Rs 824 crore above Q2’FY26. LG did not disclose sales contributions by individual product line, so the release does not establish which of washing machines, refrigerators or room air conditioners made the largest contribution to growth.

What happened to LG’s H&A profit and margin?

LG’s H&A EBIT, or earnings before interest and tax, increased 28.4% year on year to Rs 416 crore in Q2’FY27 from Rs 324 crore, and the EBIT margin rose 0.5 percentage points to 8.7% from 8.2%. The increase in EBIT exceeded the segment’s 20.9% revenue growth over the same Q2’FY26 comparison.

LG attributed the year-on-year margin improvement to a richer premium-product mix and scale benefits from robust volume growth. The company said these factors offset elevated prices for copper, aluminium and plastic, specifically polypropylene. This is management’s explanation for the 0.5-percentage-point margin change, rather than a disclosed breakdown of cost savings or profitability by product category.

Sequentially, H&A profit and margin were lower than in Q1FY27. EBIT declined by Rs 226 crore from Rs 642 crore, while the EBIT margin fell 2.8 percentage points from 11.5% to 8.7%, alongside the 14.4% revenue decline. The Q2’FY27 margin nevertheless exceeded the 4.0% reported in Q3’FY26, although it remained below the 11.9% reported in Q4’FY26.

What does LG expect for H&A in Q3’FY27?

LG expects festive and wedding-season demand to support consumption across appliance categories in Q3’FY27, with customer preference shifting toward premium, energy-efficient and larger-capacity products. Management identified commodity and currency trends as key factors to monitor, while saying industry sentiment was positive heading into the peak-demand season.

LG said go-to-market investments made during Q2’FY27 were intended to ensure channel readiness in key markets for the festive period. It expects premium categories including French Door refrigerators and dishwashers to sustain momentum. These are management expectations rather than reported Q3’FY27 sales or margin guidance, and the release provides no numerical revenue target for H&A.

LG also identified exports and an upcoming compressor facility at Sri City as contributors to its next phase of growth. Compressors are included in H&A alongside air conditioners, refrigerators, washing machines and water-treatment products. LG did not disclose an opening date, capital expenditure amount, capacity figure or expected revenue contribution for the Sri City facility in the Q2’FY27 release.

Conclusion

LG’s Q2’FY27 H&A performance combined a 20.9% rise in revenue to Rs 4,772 crore with a 28.4% increase in EBIT to Rs 416 crore. Washing machines, refrigerators, room air conditioners and dishwasher growth supported the result, while premium mix and volume-related scale benefits helped lift EBIT margin by 0.5 percentage points despite cited input-cost inflation.

The next disclosed test is Q3’FY27, when LG expects festive and wedding demand to support premium, energy-efficient and larger-capacity appliances. Readers should watch whether the expected momentum in French Door refrigerators and dishwashers, channel-readiness investments, exports and the planned Sri City compressor facility translate into reported revenue and margin progress, while copper, aluminium, polypropylene and currency trends remain monitorable.