/24-7PressRelease/ - AMMAN, JORDAN, July 31, 2008 - LG continued replacing its record-high quarterly sales and operating profit on both global and parent basis, thanks to stable operations from all business divisions, mainly from robust sales in handsets and flat panel TVs.
On a global basis, sales jumped 22.1 per cent to USD 12.534 billion and operating profit recorded USD 843 million, which makes the profit margin at 6.7 per cent. On a parent basis, second-quarter sales rose 22.5 per cent to USD 7.120 billion. Operating profit booked USD 625 million with the profit margin of 8.8 per cent. The company posted strong net profits of USD 696 million, as equity method gains from earnings of its subsidiaries in overseas and investment in LG Display.
Business performances on a global basis by division are as follows;
Mobile Communications Company posted another record-high sale of USD 3.788 billion, 34.3 per cent up from the second quarter 2007. From handset business, the sales reached USD 3.695 billion, 38.6 per cent up from a year earlier. Operating profit margin improved to 13.9 per cent, 14.4 per cent in handset division due to growth in high-end models and improvements in operational efficiency.
Shipment of handsets also recorded the highest in unit sales as well, a total of 27.7 million mainly from North America (33 per cent) and emerging markets including Middle East Asia, CIS and Central & South America, thanks to strong sales of "Secret", "Viewty", "Venus" and other premium phones. Secret is the third model in its Black Label Series, with highly stylish design and enriched technological features, including the slimmest 5-mega pixel camera and innovative materials.
Digital Appliance Company sales increased 4.9 per cent to USD 3.721 billion on year and operating margin resulted in 7.2 per cent despite challenging business environment such as higher raw material prices, economic slowdown and US market contraction from sub-prime effect.
Digital Display Company sales jumped 37.2 per cent to USD 3.683 billion powered by rise in sales of flat TVs; LCD TVs 86 per cent, plasma TVs 31 per cent from a year earlier. PDP module sales grew 22 per cent. Following profitability turnaround in the previous quarter, operating profit in the second quarter successfully remained profitable at USD 37.4 million.
Sales from Digital Media Company reduced 2.1 per cent on year to USD 1.201 billion due to low seasonality, but operating profit and margin increased to USD 12.8 million and 1.0 per cent by strong effort for cost innovation.
The General Manager of LGE Amman, Mr. Kevin Cha said, "LGE sales and performance is continuously mounting, due to the new products that we innovate to meet the demands of our customers around the globe. We hope that our sales and performance keep on mounting to keep our pioneering position on the market".
TRACCS Jordan Maha Al Rawashdeh
Tel: (+962) 6 5660542 Fax: (+962) 6 5660541
E-mail: jordan@traccs.net
---
Press release service and press release distribution provided by http://www.24-7pressrelease.com# # #
- boom, demand, digital, display, earnings, east, emerges, flat, for, lge, markets, middle, mobiles, one, panel, quarter, reports, rise, second, spells, time, top
Read more Press Releases from FMK FMK:Other Press Release Headlines:
