Korean IT solutions provider LG CNS said Thursday it achieved record-high yearly sales of 5.9 trillion won ($4.07 billion) in 2024, backed by robust sales in cloud and artificial intelligence business.
Operating profit for the year stood at 512.9 billion won, growing 10.5 percent on-year, while annual sales increased 6.2 percent on-year.
For the October-December period, LG CNS also posted best quarterly sales of 2.02 trillion won, up 6.2 percent on-year. The operating profit also increased 1.1 percent on-year to stand at 2 billion won.
LG CNS attributed the growth in sales to its cloud and AI service business, which grew 15.8 percent on-year. According to the company, cloud and AI business took 56 percent of the annual sales, posting 3.3 trillion won.
In the cloud sector, LG CNS has established a leading position as a managed service provider, and has built strong partnerships with global cloud service providers, such as Amazon Web Service and Google Cloud. The IT company was the first in Korea to achieve the AWS Generative AI Competency qualification from AWS last June. In October, the company became the first in Asia to secure Google Cloud's Generative AI Service Specialization certificate.
LG CNS is also actively expanding its presence in the AI sector, launching DAP GenAI, a generative AI service platform helping corporate customers in developing their own AI models, and DRAG, which is a generative AI model for images based on multimodal capabilities.
As a new growth driver, the company is also ramping up investment in AI data center business. LG CNS is working together with the Korea Institute of Energy Technology Evaluation and Planning for joint research on immersion cooling technology. The company is also planning to introduce a monitoring system for equipment overheating using digital twin technology.
LG CNS made its stock market debut on the nation's main bourse Kospi on Wednesday, with its stock ending trading at 55,800, down 9.85 percent from its IPO price of 61,900 won. On Thursday, the stock was trading at 56,400 as of 2:30 p.m.
herim@heraldcorp.com
