Innotek Accelerates Corporate Transformation Driven by Semiconductor Substrates and Physical AI

LG Innotek says it has turned around performance in the first half of the year through a portfolio shift centered on semiconductor substrates and “physical AI” businesses. The South Korean company reported revenue of $8.22 billion and operating profit of $401.96 million for H1, up 24% and 296% year over year. LG Innotek said the operating-profit jump is its biggest “earnings surprise” for a first half since 2022, when profit was $480.79 million. Since CEO Moon Hyuksoo took over in 2023, the firm has reorganized around a high-margin “High Performance Portfolio.” It leads RF-SiP substrate market share using Cu-Post, aiming for nearly 80% this year among major clients, and is expanding FC-CSP and FC-BGA into AI memory and PC CPUs.