LG sells more tv’s but less mobile phones

LG Electronics business in the third quarter a net loss of 263 million euros, compared to a positive result of € 4.8 million in the same quarter a year earlier. LG blames the loss on falling revenue from tv’s and cell phones.

LG Electronics sold in the third quarter, which ended on september 30, 6.8 million tvs, according to the company, a record for that quarter. The sales of the LG Home Entertainment division declined in this quarter by 7 percent compared to a year ago to 3.4 billion euro, as a result of an ailing economy. Due to the larger share in the product mix of Cinema 3D tvs and tvs with led-lighting increased the operating profit of the division, however, with 17 percent to 64.1 million euros.

According to DisplaySearch, will this year 206 million tv’s were sold, while earlier predictions were 211 million pieces. To the stagnant, global sales of tvs to the head to offer, LG will try to be more passive 3d tvs to sell.

Due to strong competition from Apple and Samsung, and the absence of new, appealing models is the operational loss this quarter amounted to 88,2 million. This is less than the loss of 192,2 million in the third quarter of last year, but higher than analysts had expected. The turnover of the mobieltjesdivisie decreased by 8.5 percent to 1.78 billion euros. The revenue from the sale of equipment decreased compared to the previous year by 9.5 percent.

LG, the third largest mobieltjesfabrikant, expected this year, 23.8 million smartphones to sell, compared to 6.2 million units in 2010. It is expected that the total market share for mobile phones this year reduced from 8.6 to 6.5 percent. The company wants new Optimus smartphones release and focuses more on models with lte support.

LG Electronics as a whole saw its revenue this quarter to decline by 4 percent to 8.2 billion euros compared to the same quarter a year earlier, while the operating loss was reduced from 117,4 million to 20.3 million euros.