KB Securities Raises LG Innotek H2 Earnings Outlook, Q2 Operating Profit Hits 244.8B KRW on July 16

According to KB Securities on July 16, LG Innotek is expected to deliver significant earnings surprises in the second half of 2026, with Q2 operating profit reaching 244.8 billion Korean won, surpassing market consensus by 36% and representing approximately 22-fold year-over-year growth. KB's head of research noted that optical solutions business should see average selling prices rise 30-40% in H2 due to new product effects.

The brokerage cited expanding AI semiconductor substrate supply contracts with major tech firms as a key positive factor, with discussions ongoing with two global tech giants and additional requests from U.S. companies accelerating. KB maintained a 'buy' rating and 2 million won price target.