GoDubai
  
  
  
  
Citylife > Press Release
  Home Contact us Add to Favourites
Most Recent Postings
More Press Releses
Featured Sections

Event Finder
A daily roundup of exhibitions, promotions and other events in Dubai and the rest of the Emirates.
Submit an Event
Latest Dubai Press Releases >> LifeStyle

 
  Share

Home Appliance & Air Solution Company Reports Solid Quarter, Offsetting Challenging Market Conditions for TVs, Smartphones

Dubai, October 31, 2015 ― LG Electronics Inc. (LG) today announced strong operating profit margin in its Home Appliance & Air Solution Company, contributing to a modest overall net profit of KRW 124.8 billion (USD 106.76 million) for the third quarter of 2015. Amid increasing competitive pressure in both the TV and smartphone sectors, LG's third-quarter sales rose 0.7 percent from the second quarter to KRW 14.03 trillion (USD 12 billion), while operating profit increased from the previous quarter to KRW 294 billion (USD 251.5 million).

The LG Home Entertainment Company reported third-quarter revenue of KRW 4.29 trillion (USD 3.67 billion), an increase of 9 percent quarter-on-quarter due to solid sales in UHD and OLED TVs in markets such as North America, Latin America and Commonwealth of Independent States. Profitability also increased from the previous quarter as a result of improvements in product mix and cost structure. With continuing soft global TV demand, LG plans to bolster its profitability by increasing its marketing focus in the premium segment while continuing to improve its cost competitiveness.

The LG Mobile Communications Company reported global shipments of 14.9 million smartphones, a 6 percent increase from the previous quarter. Despite a 12 percent sales increase in North America, overall revenues of KRW 3.38 trillion (USD 2.89 billion) were 7 percent lower quarter-on-quarter and decreased 21 percent year-on-year due in large part to weaker demand for high-end devices in Korea. LG expects the launch of the advanced V10 and price-competitive Nexus 5X smartphones in the fourth quarter to improve the overall product mix.

The LG Home Appliance & Air Solution Company reported a strong quarter with a 4 percent increase in sales to KRW 4.15 trillion (USD 3.55 billion) and an operating profit of KRW 245.6 billion (USD 210.1 million), an increase of 420 percent from the same period the year before. Operating profit for refrigerators improved as a result of strong sales of premium models in North America and Korea while the unique new Twin Wash system contributed toward improved profit margins in the washing machine business. Fourth-quarter results are likely to be impacted by the effects of unfavorable exchange rate and seasonality.

The LG Vehicle Components Company reported a 6 percent increase in sales quarter-on-quarter to KRW 478.6 billion (USD 409.41 million) primarily as a result of its growing infotainment business. Revenues from vehicle engineering were flat due to weaker demand in emerging markets such as Russia and Malaysia. Investments in R&D related to electric car and automotive electronic components contributed to a modest operating loss. Going forward, LG expects recent issues related to diesel automobiles to positively affect the electric vehicle and automotive electronic components markets.

2015 3Q Exchange Rates Explained
LG Electronics' unaudited quarterly earnings results are based on IFRS (International Financial Reporting Standards) for the three-month period ending September 30, 2015. Amounts in Korean won (KRW) are translated into U.S. dollars (USD) at the average rate of the three-month period of the corresponding quarter ― KRW 1,169 per USD (2015 3Q).



Posted by : GoDubai Editorial Team
Viewed 9479 times
Posted on : Saturday, October 31, 2015  
Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of GoDubai.com.
Previous Story : Securifi Inks Distribution Agreement With Logicom
Next Story : LG Launches Premium Cordless Vacuum Cleaning Cordzero™ Collection.
Email this article Print this article

Share this article with your friends and followers
NewsVine

Comments

Back to Top  
Most Viewed Press Release posted in the last 7 days
RUNWAY DUBAI creates a new buzz campaign for fashion tourism
Time for Some AIGNER Love
Achieve whiter teeth at home with Spotlight Teeth White Strips
SUC signed MOU with Waldorf Astoria Ras Al Khaimah
Golden Bridge Rectangle Diamonds Celebrates The Virtuosity Of Art Deco Design Genius
Gift gorgeous skin this festive season.
Calvin Klein Presents Steadfast Collection
BOSS watches presents Navigator Collection
Sthan, bringing you authentic Frontier food from beyond borders, is now open in Dubai
Absolutely Rejuvenated Skin to Start the New Year
Coach Women's Lex Stainless Steel Bracelet Watch Collection
Mohammed bin Rashid Launches UAE Astronaut Programme
Glamazle.com names a Lipstick after Yardstick Marketing as a testimonial to the ...
Step into 2018 with skinade & slow down the signs of ageing
‘Artistry' - Branded Jewellery show at Malabar Gold & Diamonds' outlet in Meena ...
With the Increasing Trend of Grooming Among Men, Kaya Skin Clinic Launches an Ex...
SUC Conducted the 10th CEO Lecture Series
Together for Egyptian Cinema: A Million happy viewers
Nouveau Lashes & Beauty – The Aftercare Range
The First “Dilmah Silver Jubilee Gourmet” in a Middle East Hotel Opens in Pullma...
Lg V30+ Launches in the Uae and Makes Its Way Into Customers' Pockets and Lives
LG bets high on Premium TV Market with industry leading OLED Technology
Over 200 developers across India participate in CREDAI's Indian Property Show
Unilever's Lipton Jebel Ali Tea Factory First in MENA to Achieve Bronze World Cl...
Dubai-based teen star Polina Butorina releases her debut album ‘Ocean of Emotions'
10 years on Bremont refreshes ALT1-P range
Switzerland wins a Good Design Award for the first chronograph-watch in history
Win 3000 Dollars with Splash
Saint Honore presents the distinguished Haussmann for men in an elegant avatar
Sleigh your style with women'secret's festive collection
LPG Endermologie provides tips for you to stay healthy and glowing inside and out
Ghantoot present 17th Emirates Open Polo Championship International
Al Tayer Motors Celebrates 100 Years of Ford Pick-up Trucks
Joyalukkas the World's Favourite Jeweller Now Launches in South Extension, Delhi
DIFF Welcomes Robert Bosch Stiftung to the Festival's 14th Edition
Registration Opens for the Fazza Championships for Falconry 2018
Festive and NYE Happenings at Tub of Butter
SOUQ launches “Amazon Global Store” bringing over a million global products to t...
du Opens New Business Centre Facility at Jebel Ali Free Zone (Jafza)
Ring in the New Year with Ramada Plaza Jumeirah Beach in JBR at Fogueira, Speake...
Party Season Essentials at Paris Gallery
Lacoste Introduces Motion Collection
Saxo Bank 2018 Outrageous Predictions: 2018 will be a true roller coaster ride c...
De'longhi Bean-to-cup Coffee Machines
Huawei's ultimate gift guide for the 2017 Holiday Season
Green Hope on Former US Vice President Al Gore's 24 Hours of Climate Reality telecast
The du Youth Council Holds a Volunteering Day at Al Ain Zoo with People of Deter...
Indian realty in revival mode, says industry expert
DIFF Closes With Full Force on the Red Carpet
MEPRA announces winners of its 2017 awards