LG reports impressive Q1 results as mobile division heads for the exit
LG announced its mobile division will be closed this year since it cannot turn profitable in the current market. However, the company's report confirms all other branches have posted a yearly increase in sales, bringing the total revenue to KRW18.8 trillion - the most LG has ever recorded between January and March.
|Mobile Divison Performance||Q1 2021||Q4 2020||QoQ Change||Q1 2020||YoY Change|
|Sales in KRW / USD||998.7B / 901M||1,385B / 1.24B||-27.9%||998.6B / 901M||0%|
|Profit in KRW / USD||-280B / -252M||-248B / -224M||-12%||-237B / -214M||-18%|
The biggest grower was the Home Entertainment division. People staying at home resulted in recovering demand in North America and Europe - traditionally profitable markets where LG managed to expand its sales of OLED and NanoCell TVs. The upward trend is expected to continue and will be centered around premium products.
The mobile business is already performing its swan song - the final attempt to salvage what is left before operations are discontinued later this year. During Q1 2021, LG managed to sell phones worth KRW998.7 billion, which is exactly the same as Q1 2020 down to the decimal point. There were no new models launched and actions were aimed at existing models.
LG will be redeploying all personnel within the corporation, going for a liquidation of assets, compensating partners and suppliers of service support.
All sales activities of the Mobile Communications division will be terminated at the end of July, and that’s when the Q2 report will be out, disclosing the final numbers, where LG will show a breakdown between continuing and discontinued operations.
- 09 May 2021
does not hit advertising lg made the mistake in telephony instead of thinking about aesthetics and software updates to waste their energy on useless accessories in the daily use of the phone, such as the dual screen, which doubles the weight of the...
- 09 May 2021
it's not special function in LG, you can find it in other phones.
- 03 May 2021
I love LG phone because it double tap on the sceen to turn of the phone. LG need to advertise their phones a lot more. In order to get their consumers to look at the LG differently. Cuz I see more advertising are other phones than LG phones. LG phone...