South Korean electric vehicle (EV) battery maker LG Energy Solution said it had recorded 17.85 trillion won in revenue and 768.5 billion won in operating income during the entire year of 2022.
Revenue increased 42% year-on-year, while the company recorded its first annual operating income after years of losses.
The cost of the recall and compensation agreed with main customer General Motors and other energy storage system (ESS) makers, which totaled around 150 billion won, was also taken into account in the operating income figure, LG Energy Solution.
The South Korean said the annual revenue figure was short of its initial target of 18.9 trillion won, which was caused by the global chip shortage that affected vehicle production and an increase in raw material cost.
The company said it is aiming for annual revenue of 19.2 trillion won in 2022, which will be an 8% increase from last year.
LG Energy Solution expects the global EV market to continue to grow and it will see sales from cylinder batteries increase going forward.
The company also said it plans to spend 6.3 trillion won this year to expand its facility.
The investment figure is 58% higher than in 2021 and will be spent on its joint ventures with General Motors as well as to expand its production capacities of existing facilities in the US and China.