On the 5th, L&F announced its Q4 operating profit of KRW 82.4 billion, representing a 273% increase QoQ and significantly exceeding market consensus. L&F cited the main drivers of the earnings improvement as the recovery in utilization rates from growth of shipments of high-nickel (Ni95) products and the reversal effect from inventory valuation due to raw material price rebounds. L&F expects that in 2026 to achieve an annual operating profit turnaround through further expansion of Ni95% and new 46mm product supply.

Despite the slowdown in the global electric vehicle market, L&F’s total shipments in 2025 increased 34% YoY, with high-nickel cathode shipments expanding approximately 75%, setting an all-time high. L&F continues to maintain its exclusive supply position based on technological competitiveness and expects total shipments to grow by more than 20% in 206.

The supply of high-nickel cathode materials for 46mm cylindrical 0batteries, which has recently attracted significant market attention, is also being ramped up. These products use single-crystal materials to improve energy density and lifespan, making them suitable for next-generation applications requiring high density and high output, such as humanoid robots. In the conference call, the company stated, “Shipments to new customer began at the end of last year, and in 2026, they are expected to expand to about 6% of our total shipments.” L&F is strengthening its differentiated competitiveness by expanding applications beyond EVs into new industries such as robotics.

In addition, L&F is also actively pursuing its LFP cathode business as a new growth driver. The company is investing in LFP facilities with a total capacity of 60,000 tons by 2027 and plans to begin phased mass production from the third quarter of 2026. This initiative aims to position the company as the fastest among domestic peers to secure new growth drivers amid the expansion of AI data centers and rising ESS demand. Once fully operational, the LFP business is expected to diversify revenue streams beyond L&F’s existing high-nickel focused business.

L&F CFO Yu Sung Hun stated that profitability improvements are accelerating in line with expanded shipments. He noted that in 2026, the company aims to sustain simultaneous growth in both operational results and financial performance through high-nickel-focused volume growth and a return to profitability. He added, “Through our new 46-series and LFP business, we will continue to expand our mid-to-long-term growth and earnings base, further strengthening L&F’s competitiveness.”