Business · Markets · 2 hrs ago
LS Electric’s third-quarter orders rise as data centre demand stays strong
South Korean power equipment maker LS Electric reported stronger third-quarter results, according to Hana Securities.
Its operating profit rose 131.7% from a year earlier to 233.5 billion won, while sales increased 54.4% to 1.8778 trillion won.
New orders reached 1.6 trillion won, up 132.9% year on year, and more than half were for data centres.
The bank said three large contracts disclosed this month support its view that demand remains strong despite concerns about AI data centres.
Power infrastructure sales, including switchgear and high-voltage transformers, helped drive growth, and US demand was a key source of expansion.
Hana Securities expects new orders in the fourth quarter to reach the high 1 trillion won range, while LS Electric plans to expand production capacity to maintain fast delivery.
The bank kept its buy rating and 270,000-won target price, but these are its assessments, not guaranteed outcomes.
LS Electric recorded 1.6 trillion won in new orders in the third quarter, up 132.9% from a year earlier, according to Hana Securities.
More than half of the new orders were for data centres, and the brokerage said demand remained strong.
Hana Securities estimated operating profit rose 131.7% year on year to 233.5 billion won.
It estimated revenue increased 54.4% to 1.8778 trillion won, above market expectations.
The brokerage said power infrastructure growth was supported by higher switchgear and ultra-high-voltage transformer sales.
- Who
- LS Electric, as assessed by Hana Securities.
- What
- Third-quarter new orders rose to 1.6 trillion won, while the brokerage estimated higher revenue and operating profit.
- When
- The third quarter; Hana Securities issued its assessment on October 22, 2026.
- Where
- Not stated.
- Why
- Hana Securities attributed growth to strong demand, especially from data centres, and the contribution of high-margin projects.
This story does not have two clearly opposing sides.
LS Electric recorded 1.6 trillion won in new orders, up 132.9% year on year.
Hana Securities maintained its buy rating and target price of 270,000 won for LS Electric.
- Third-quarter new orders
- 1.6 trillion won
- Year-on-year order growth
- 132.9%
- Data-centre share of new orders
- More than 50%
- Operating profit
- 233.5 billion won, up 131.7% year on year
- Revenue
- 1.8778 trillion won, up 54.4% year on year
1 source
What people are saying
Unlike concerns about the AI data centre market, demand remains strong, as confirmed by three large contracts disclosed this month.
We expect to focus on expanding production capacity to maintain fast delivery, and further growth in scale is expected after domestic and overseas expansions.