LG Electronics has some great news to share with its shareholders and long-time patrons as the company in an official announcement today confirmed the highest Q1 profits since 2009.
The South Korean electronics giant posted their profits for the first quarter in 2018. According to Reuters, LG has announced that they have exceeded expectations and their profit rose by a substantial 20 percent when compared to Q1 results in 2017.
LG Reports Huge Profits
The company has confirmed during the period of January and March in 2018, they made a total profit of $1.03 billion. The original profit is much higher when compared to the estimate made by Thomson Reuters StarMine SmartEstimate which projected their revenue at 935 billion won but LG surpassed it with 1.1 trillion won. The estimate was derived from a poll that had 16 experts as part of the panel.
Substantial Growth in Revenue
According to the reports submitted by the company so far, the overall revenue has been posted at 15.1 trillion won which is slightly lower than the 15.4 trillion won posted by SmartEstimate, with inputs from analysts who took current market share and statistics into consideration.
It is considered a huge growth and LG confirmed that the first quarter operating profit is the highest they have ever witnessed since 2009. The manufacturer didn’t provide detailed statistics on their sales and the elements that contributed to this improved profit reports.
Industry analysts confirm that the company’s impressive sales of OLED televisions played an integral role whereas their smartphone division didn’t perform as well. The pricing of OLED TVs have gone down considerably leading to better sales and LG continues to be at the forefront of the home appliances department.
Loss Reports in the Mobile Division
While LG is performing extremely well in home appliances, the brand’s mobile division posted heavy losses for four consecutive quarters since 2017 but the Q1 in 2018 losses are considerably less compared to last year. The firm added that they will provide a detailed analysis of their earnings in their April report which will be released towards the end of the month.