LG Electronics projected a strong earnings rebound in the first quarter, reversing a rare loss from the previous period. The South Korean electronics giant expects an operating profit of 1.674 trillion won, equivalent to $1.11 billion, marking a 33% increase from the same period last year. This forecast follows a 109.00 billion won loss in the fourth quarter of 2024.

Shares in LG Electronics have risen about 20% this year as investors anticipate a recovery. The company attributes the improved outlook to better profitability in its home-appliance, television, and vehicle-component businesses. The profit forecast of 1.674 trillion won significantly exceeds analysts' consensus estimate of 1.336 trillion won compiled by FactSet.

LG's return to profitability signals a turnaround for the consumer-electronics giant after its first loss in nine years during the previous quarter. The strong first-quarter guidance raises hopes for sustained recovery throughout 2025 as the company benefits from improving market conditions across its diverse business segments.