LS

■ 22% increase in sales(YoY) and 74% in operating profit(YoY)

■ Accomplished record high performance in a row

■ Maintaining steady growth with pioneering new market and continuous investments

LS Cable & System Asia Ltd. (CEO Kwon Young-il) made an announcement on July 11, 2019 that its second quarter sales expected to increase 22% (YoY) to $118 million (135.1 billion won) and operating profit expected to increase 74% (YoY) to $5.8 million (6.7 billion won).

This is all-time record for quarterly performance, also for the half-year performance and it is also breaking record for 19. 1Q’s biggest quarterly sales and operating profit with $108 million (122.3 billion won) and $5.3 million (6 billion won). The figure represents a 22 percent increase in sales, 74 percent increase in operating profit and 86 percent increase in income before income tax compared to the same quarter last year-on-year.

The company mentioned that the sales growth is attributed to the growth of Vietnamese domestic power cable market and increased demand for communication cables in Europe and other developed countries. To deal with increased demand, LS Cable Asia maintain its capacity utilization of its power and communication cable production lines as more than 90%, the company officials said.

Growth of renewable energy market such as wind power and solar power system in Vietnam is also suggesting a new business opportunity for the company. Vietnam plans to expand its renewable energy generating unit up to 9.9% till 2020, up to 21% till 2030. However, other local companies are lacking in technology, know-how and production facilities for related products. 

"LS Cable & System Asia Ltd. has an outstanding competitive edge in Vietnamese renewable energy market with its world-class quality products.” said a representative for the company. “We will keep focus on awarding large scale projects, and also maintain our steady growth by pioneering new market opportunity in the meantime.”

LS Cable & System Asia Ltd. recently signed an agreement with Vietnamese developer Hoan Son Group to supply $ 50 million of power cables to Vietnamese solar power plant project over the next two years.