South Korean LG Electronics reported revenue of 20.4 billion Korean won (14.2 billion euros) in the first quarter of this year, which represented a 23% drop as a result of the contraction in demand.
The South Korean technology company also reported an operating result (EBIT) of 1.5 billion Korean won (1.4 billion euros), the third highest operating profit recorded in a quarter.
“Despite the impact of the challenging global economic conditions, the record level of sales reflects the radical improvements that the company has introduced in the effective management of the business structure and operational method”, reads in the statement.
LG also says that “the substantial increase in profit this year is remarkably significant, considering the positive impact of income that comes from royalties, especially compared to the operating profit of the first quarter of last year”.
As for the business structure, the company’s auto parts business is growing rapidly, and the B2B segment is in continuous expansion, guarantees LG.
Business areas not related to hardware, such as software platforms, content, services and solutions, as well as Online Brand Shop (OBS) are also achieving significant growth, advances the company.
“Influenced by the company’s substantial records, LG is also providing energy efficient products including heat pumps and Energy Storage System (ESS) that respond to customers’ needs. The company is also strengthening its entry-level lines in response to changing market trends to maximize customer value,” adds LG.
These figures correspond to interim consolidated revenue based on K-IFRS provided as a service to investors prior to the disclosure of LG Electronics’ final results, including net income. Details on each business unit will be officially announced later this month, details the release.
According to preliminary financial results, LG Electronics refers that it is the “second highest quarterly revenue, with steady growth, based on solid fundamentals”.
In Portugal, LG Electronics was founded in 2003 and employs around 90 people.
The company, which achieved, in 2021, global revenues worth more than 56 billion euros (Portugal – 222 million euros), comprises four business units – Home Entertainment, Home Appliances, Business Solutions and Air Conditioning – being a distributor in our country of OLED and NanoCell televisions, XBoom sound systems, refrigerators – combined and American – dishwashers and clothes washing machines, laptops, projectors and monitors, air conditioning systems, among others. In terms of the B2B area, LG’s offer has a vast portfolio, which includes Digital Signage, Commercial TV and ESS – Energy Storage Solutions.