Handsets Boost LG Earnings - InformationWeek
IoT
IoT
Mobile // Mobile Devices
News
10/21/2009
01:39 PM
50%
50%
RELATED EVENTS
[Cybersecurity] Costs vs. Benefits
Feb 28, 2017
This online event, hosted by the editors of Dark Reading, brings together IT security leaders, bus ...Read More>>

Handsets Boost LG Earnings

The company posted a net 3Q profit of $685.2 million as its handset sales soared.

LG Electronics had a strong third quarter thanks to higher sales of flat-screen televisions and a surge in its handset division.

The company reported a net profit of $685.2 million for the third quarter, a large increase from the $21.4 million profit it reported for the same period last year. The company saw its overall global sales increase year-over-year 15.7% to about $11.2 billion.

LG's mobile communications unit reported sales of about $3.75 billion with an operating profit of about $314 million. The company shipped 31.6 million units during the three-month period, which was a 37% year-over-year increase. LG saw slight dips in sales in Korea and North America, but it was able to overcome this with increased sales in emerging markets. The lower sales in mature markets did lead to a dip in the average margin per handset though.

LG is making a large push to overtake Samsung as the second-largest handset maker in the world, and it is readying a slate of high-end smartphones to help achieve this goal. The company is prepping a line of Windows Mobile 6.5 devices, and it also recently unveiled its first Android smartphone. LG will also be releasing high-profile feature phones like the Chocolate, and it will add another phone to its Prada lineup.

The company sold a record 4.01 million liquid-crystal display televisions for the quarter, and this helped the home entertainment division report a profit of $205 million on sales of about $3.97 billion. The home appliance unit posted an 11.9% year-over-year increase, and the air conditioning unit saw a decline in sales. LG said it expects lower profitability in the fourth quarter because of an increase in marketing and research and development.


InformationWeek has published an in-depth report on new software models. Download the report here (registration required).

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
How Enterprises Are Attacking the IT Security Enterprise
How Enterprises Are Attacking the IT Security Enterprise
To learn more about what organizations are doing to tackle attacks and threats we surveyed a group of 300 IT and infosec professionals to find out what their biggest IT security challenges are and what they're doing to defend against today's threats. Download the report to see what they're saying.
Register for InformationWeek Newsletters
White Papers
Current Issue
2017 State of the Cloud Report
As the use of public cloud becomes a given, IT leaders must navigate the transition and advocate for management tools or architectures that allow them to realize the benefits they seek. Download this report to explore the issues and how to best leverage the cloud moving forward.
Video
Slideshows
Twitter Feed
InformationWeek Radio
Archived InformationWeek Radio
Join us for a roundup of the top stories on InformationWeek.com for the week of November 6, 2016. We'll be talking with the InformationWeek.com editors and correspondents who brought you the top stories of the week to get the "story behind the story."
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll