LG posted 10% jump in revenue in Q1

Home Appliance and Air Solutions company posted its highest quarterly operating income in eight years.

By Priyanka

After eight years, LG electronics has managed to garner 10 percent year-over-year jump in revenue in Q1 result. The company has posted revenue of KRW 14.66 trillion

($12.70 billion), an increase of 9.7 percent from the same period last year, while it has doubled its operating income to KRW 921.5 billion ($ 798.3 million).

LG posted 10%  jump in revenue in Q1


Specifically from Home Appliance and Air Solutions company posted its highest quarterly operating income in eight years.

Its Home Entertainment Company recorded its highest first-quarter operating margin of 8.8 percent on sales of KRW 4.33 trillion ($ 3.75 billion), largely due to expanding sales of premium products, improved cost structure and a more flexible strategy to deal with the increase in panel prices.

SEE ALSO:TRAI plans to frame rules for new-entrant mobile operators

The company also expects that TV demand in the next quarter to remain positive due to opportunities in North America, Latin America, and Asia, led by the growing popularity of premium LG OLED and Ultra HD TV products and the rollout of the new LG SIGNATURE OLED TV W.

Meanwhile, LG Mobile Communications Company reported revenues of KRW 3.01 trillion ($ 2.61 billion), an increase of 4 percent quarter-over-quarter and 2 percent year-over-year, driven by the launch of the flagship LG G6 smartphone and new mass-tier models.

The company reported smartphone shipments of 14.8 million units this quarter, up 10 percent from the first quarter of last year in large part due to the Americas. While effects of last year's reorganization are beginning to bear fruit, price competition in the mass-tier segment and competition from other flagship models are expected to increase this year.

Finally, LG's Vehicle Components Company also reported strong sales KRW 876.4 billion (USD 759.2 million), a 48 percent increase from the first quarter of 2016.

However, LG also advised that continued investments in R&D and growth are expected to continue to affect the division's profitability this year.

Most Read Articles
Best Mobiles in India

Read More About: year company posted increase news telecom

Best Phones

Get Instant News Updates
Notification Settings X
Time Settings
Clear Notification X
Do you want to clear all the notifications from your inbox?
Yes No
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Gizbot sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Gizbot website. However, you can change your cookie settings at any time. Learn more