LG Electronics who earlier this week launched a new G3 smartphone, an Android wear smartchwatch and a 10″ tablet in Australia has reported a 165% lift in profits due to big demand for their TV’s and mobile phone sales.
LG said it had second-quarter 2014 net profit of US $399.8 million and operating profit of $588.5 million,was an increase of 26.5 percent year over year.
revenues increased 7.7 to $14.93 billion percent from the previous quarter.
LG said that demand for Ultra HD TVs in key markets will continue to drive LCD TV revenue growth.
The B-to-B market, led by monitors and digital signage also contributed to LG’s growth in this segment, the company said. LG Mobile Communications said it shipped a record-high 14.5 million smartphones in the second quarter, a 20 percent increase year over year, with LTE products accounting for more than one-third of all LG smartphones sold this year.
As a result, smartphone sales increased 16 percent from the same period last year to $3.51 billion, the highest since the first quarter of 2010.
The mobile division’s operating profit of $83.4 million in the second quarter put an end to three consecutive quarters of losses.
Much of the success was due to the initial popularity of the LG G3 and strong sales of L-series smartphones. ChannelNews has recently seen this smartphone and it is the best Smartphone we have seen this year.
LG plans to continue its global rollout of the G3 and introduce more mass-tier products in the second half, including variations of the LG G3, such as the recently announced G3 Beat, and additional L-series models, the company said.
LG Home Appliance recorded sales growth of 9 percent and on revenues of $2.94 billion. LG expects revenues and profitability for home appliances to increase in the second half due to the launch of market-leading washing machine and refrigerator products and the effect of cost reductions.