Seoul, Korea - LG
Electronics reported higher revenues based on strong flat panel TV and home
appliance sales, but lower net profits
due to its performance in mobile phones during the third quarter.
LG posted consolidated third-quarter 2010 revenues of 13.4
trillion won ($11.3 billion), a 2 percent decline from the same period last
year (up 3 percent in U.S. dollars).
Net profit was 8 billion won ($6.4 million) in the third
quarter. During last
year's third quarter net profit was $650 million (807 billion Korean won).
In LG's Home
Entertainment Company more flat panel TVs in the third quarter
were shipped than in any time in company history - 6.6 million units - a 37
percent increase from the same period the previous year.
Home Entertainment revenues grew 9 percent in won (14
percent in dollars) from the year earlier due to improved LCD TV sales,
especially in emerging markets. Sales were 5.4 trillion won ($4.5 billion) and
operating profit was 123 billion won ($104 million).
The story was not
the same for the LG Mobile Communications Company where revenues
decreased by 30 percent year-over-year in the Korean won (27 percent in U.S.
dollars) as a result of a decline in handset shipments across developed
The company shipped 28.4 million handsets in the quarter.
Revenues were down 32 percent in the Korean won (29 percent in dollars) year over
year. The global introduction of the Optimus One smartphone and new Windows
Phone 7 models are expected to generate a positive response from consumers in
the coming months, LG said.
The LG Home
Appliance Company reported 9 percent growth in the Korean won (14
percent in dollars) year-over-year on sales of 2.8 trillion won ($2.3 billion)
and an operating profit of 67 billion won ($57 million ).
Sales from overseas
17 percent in U.S. dollars from the
previous year due to OEM business expansion in the North American market and
peak season promotions in India and China.
For the LG Air
Conditioning Company sales increased 35 percent in the Korean won (42
percent in U.S. dollars) year-over-year to 1.1 trillion won ($900 million) with
significant growth in developing markets, LG said.