LG Q2 Sales Soar, TV Strong, Mobile Tanks
LG Electronics has post a 5.1% increase in Q2 consolidated sales, following strong growth from its home cinema and appliances division. Results offset a 8.9% drop in mobile revenue, despite a global marketing push.
‘Home Appliance & Air Solution’ sales jumped 8.7% in Q2, whilst ‘Home Entertainment’ soared 10.6%.
Though Q2 sales dropped lower than Q1, quarterly results represent a notable 3.2% year-on-year increase.
Consolidated Q2 global sales notched KRW 15.02 trillion (USD 13.9 billion), generating operating profit of KRW 771 billion (USD 715.1 million).
The results represent a whopping 16.1% year-on-year operating profit increase, stemming from strong profitability from its appliances and home cinema division.The Korean giant claims half year sales notched “all-time” highs, with revenues lifting 3.2% from HY17.
LG asserts it’s entering the second half of the year with an “intense focus” on cost competitiveness and profitable growth, due to global market “uncertainties”.
A continued increase in OLED and UHD TV sales are expected to post further growth in the coming period.
The company’s mobile division has significantly hampered Q2 results, posting an operating loss of KRW 185.4 billion (USD 171.95 million). Quarterly mobile sales have continued to drop from last year, citing increased market competition.
LG claims it will seek to further improve its mobile “business structure”, and aim to lift sales of its new premium G7 ThinQ and V35 ThinQ flagship handsets.