LG Electronics Inc. said Thursday its sales and operating profit hit the largest for any second-quarter results on stable performance of its home appliance and electric vehicle components businesses.
Its operating profit for the April-June period jumped 61.2 percent on-year to 1.19 trillion won (US$858.6 million) from 741.9 billion a year ago, according to the company in a regulatory filing.
Its sales increased 8.5 percent to 21.7 trillion won and net income surged 222.3 percent to 629.5 billion won for the three months ending in June.
The quarterly operating profit and sales both marked the largest for a second quarter.
LG Electronics said its home appliance and electric parts sectors led the strong bottom line for the second quarter.
Its conventional home appliance business posted a record 8.8 trillion won in sales, up 11 percent from a year ago, and 694.4 billion won in operating profit, up 16 percent.
The company’s diversified product portfolio targeting new markets in Central and South America, Mid
dle East and Africa played a role in driving the record-breaking performance in the second quarter. Its appliance subscription programs also gained popularity.
The vehicle component solutions business, one of LG Electronics’ new flagship businesses, saw its sales reach a record 2.69 trillion won and operating profit total 81.7 billion won.
Demand for premium in-vehicle infotainment systems has been solid despite the sluggish electric vehicle market, LG Electronics said.
LG Electronics’ TV division reported 3.6 trillion won in sales and 97 billion won in operating profit for the second quarter. Stable demand for OLED TVs in Europe and the company’s web-based content service lent support to the increase in sales.
Its business solution division’s sales rose to 1.5 trillion won, with operating loss of 5.9 trillion won.
“LG Electronics is continuing to achieve balanced growth in its current and future businesses,” LG Electronics said. “These businesses are not only growing in terms of volume, but also in term
s of profitability, which is driving qualitative, profitable growth.”
The company said it will make constant effort to improve its business structure to become a future-oriented company, maximizing the potential of existing businesses and securing new growth opportunities.
It will keep placing business focus on business-to-business sectors, including electric vehicle components, subscriptions, smart factory solutions and heating, ventilation and air conditioning (HVAC) businesses.
Source: Yonhap News Agency
