Korea: LG Electronics 2Q results in 2019 (consolidated basis): 2Q sales and profits increased
Seoul
August 05, 2019
Korea: LG Electronics (see document)
On July 30, the company announced its results for the second quarter of 2019 (April to June) (consolidated basis).
amount of sales
This was a record high on a second quarter basis, with an increase of 4.1% year-on-year to 15,629.2 billion won (approximately 1,406.6 billion yen, 1 won = approximately 0.09 yen).
Operating income
652.3 billion won, down 15.4% from the previous year. In the first half, sales were 30,544.3 billion won, a record high.
Results by division in the second quarter are as follows.
◇ Home appliances & air solutions (washing machines, refrigerators, air conditioners)
In the Korean market, sales of new products such as dryers and air cleaners were strong.
Sales in North America, Europe, Middle East and Africa were also strong.
Sales and profits increased year on year due to cost reductions.
Sales: Over 6 trillion won for the first time on a quarterly basis.
Operating profit: Record high on a 2Q basis.
◇ Home entertainment (Organic EL TV)
Demand decreased in Europe, Latin America, etc.
Sales and profits decreased due to the absence of large sports events and increased marketing expenses.
◇ Mobile Communications (cell phones, etc.)
5G smartphones: strong sales,
4G smartphones: stagnation in demand,
Launch of strategic smartphone
Operating income continued to be in the red due to an increase in marketing expenses.
◇ Vehicle Component Solutions (Automotive electrical components)
Although sales increased, operating income was in the red due to resource investment in additional new projects.
◇ Business Solutions (electronic signage, solar power generation module)
Sales of solar power panels increased in Europe and North America, and sales of displays increased, resulting in higher sales and profits.
-JETRO