- LG Electronics had narrowed operating losses in its mobile vertical during 3Q 2019
- The company had posted operating profits of $654.4 million during the same quarter
LG Electronics Inc. (LG) has announced its preliminary earnings results for the fourth quarter and full-year of 2019. The company has reported tentative consolidated revenues of KRW 16.1 trillion in the fourth quarter of 2019 with an operating profit of KRW 98.6 billion.
“Total annual sales reached almost KRW 62.3 trillion, the highest annual sales in LG history, surpassing 60 trillion won for the third year in a row, with operating profit of KRW 2.4 trillion expected to be 10 percent lower than the previous year,” read LG’s official statement.
These figures, as per LG, are the tentative consolidated earnings based on K-IFRS provided as a service to investors prior to its final earnings results including net profit. LG will post details regarding each division later this month.
Narrowed losses in the mobile division during 3Q 2019
LG had posted consolidated revenues of KRW 15.7 trillion ($ 13.15 billion) and operating profit of KRW 781.4 billion ($ 654.4 million) for the July-September period. Sales during 3Q 2019, as per the company, had increased 1.8 per cent and operating income was 4.4 per cent higher compared with the same period last year.
The LG Mobile communications company had reported sales of KRW 1.52 trillion ($ 1.27 billion) for the third quarter. Compared with the previous quarter, operating losses, as per LG, narrowed significantly to KRW 161.2 billion ($ 135 million) due to production efficiencies and cost improvements.
Among top five global 5G smartphone OEMs
LG, as per a report by Counterpoint Research, captured a spot in the top five 5G smartphone OEMs during Q3 2019. This growth was driven by the V50 ThinQ 5G. LG grew 20 per cent YoY in the premium segment. This was in contrast with LG’s overall smartphone shipments, which declined over 30 per cent YoY during the quarter.
The contribution of 5G within the price segment was five per cent during the quarter. Samsung led the 5G segment with 74 per cent of the market share followed by LG (11 per cent) and Vivo (five per cent).