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Wednesday, July 25, 2012

LG results show overall profit despite mobile division loss

LG Electronics has reported a 46% year-on-year increase in net profit to KRW 159 billion (£89.2 million), attributing the rise to a combination of more premium products, a strategic focus on developing markets and aggressive cost reductions. Revenue was up from the previous quarter but down 10.6% year-on-year to KRW 12.86 trillion.

The mobile communications division saw an operating loss of KRW 57 billion and a revenue drop of 28.5% to KRW 2.32 trillion, with marketing expenses and falling feature phone sales being blamed.

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