LG reports a Q3 annual sales decline of 23% for its mobile communications division

LG reports a Q3 annual sales decline of 23% for its mobile communications division
LG released its third quarter earnings today. Like Samsung, LG is a widely diversified company based in South Korea, and smartphone manufacturing is just a single part of it. LG Mobile Communications Company, the division that includes smartphones, reported third quarter revenue of $2.3 billion USD during the three month period. That is a 23% decline in sales year-over-year.

The Mobile Communications division also reported an operating loss of $389.4 million USD for the third quarter, due to lower sales of premium devices. 13.5 million smartphones were shipped by LG from July through September. During that period, North American sales rose 14% sequentially from the second quarter.

For the current three month period that ends in December, LG says that it is focusing on the LG V20 along with handsets in the "K" and "X" series. LG also plans on finalizing changes to the structure of the division to help it better cope for whatever the future brings. The company is expected to benefit from the demise of the Samsung Galaxy Note 7 as the LG V20 would seem to be a good choice for those exchanging their recalled Galaxy Note 7 unit for a new handset.


source: LG

Related phones

V20
  • Display 5.7" 1440 x 2560 pixels
  • Camera 16 MP / 5 MP front
  • Processor Qualcomm Snapdragon 820, Quad-core, 2150 MHz
  • Storage 64 GB + microSDXC
  • Battery 3200 mAh(14.17h talk time)
G5
  • Display 5.3" 1440 x 2560 pixels
  • Camera 16 MP / 8 MP front
  • Processor Qualcomm Snapdragon 820, Quad-core, 2200 MHz
  • Storage 32 GB + microSDXC
  • Battery 2800 mAh(25h talk time)

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24 Comments

1. IronTech

Posts: 153; Member since: May 27, 2016

- People wanted a premium phone with a removable battery. LG did it. - People wanted a premium phone with an expandable SD slot. LG did it. - People were mourning about most OEMs lacking innovations. LG created the first module phone ever. - People wanted a flagship phone with affordable price. LG G5 is one of the cheapest 2016 flagships available out there. Conclusion LG is the most underrated phone maker in 2016.

2. ibend

Posts: 6747; Member since: Sep 30, 2014

- their module is just useless - battery life is bad - not water-resistant - their UI is bad (IMO) Axon7 and OP3 is much better choice but yeah, it's camera is underated.. G5 won 4 out of 5 category on GSMarena blind test (vs i7, S7, and XZ) gsmarena.com/blind_shootout_iphone7_galaxy_s7_xper​ia_xz_lg_g5-review-1508p2.php

5. IronTech

Posts: 153; Member since: May 27, 2016

8. maple_mak

Posts: 953; Member since: Dec 18, 2013

What if the modular port has loose? Dude, you watched too many Youtube videos.

9. joey_sfb

Posts: 6794; Member since: Mar 29, 2012

LG don't stick with any gimmick feature they produce. Every year has some thing different. Poor software upgrade poor customer support. Zero sense of continuity on every possible front. 100℅ forgettable brand.

22. oister85

Posts: 508; Member since: Apr 27, 2012

The lg v20 can be a new turn around for Lg, i hope so

19. belosava

Posts: 127; Member since: Apr 14, 2014

Lg haters trolling here

24. RemovableShit

Posts: 3; Member since: Jan 03, 2017

Their UI is bad if you love bloatware. Are you high?

3. rnagic

Posts: 215; Member since: Jul 13, 2014

I've had the G2, G3, and G4 so I guess you could say I am a loyal fan of LG. The G5 and V20 are the UGLIEST phones i have EVER seen.

20. fyah_king unregistered

Have you seen the iPhone? It looks good in the back but ugly as hell in the front.

21. jeroome86

Posts: 2314; Member since: Apr 12, 2012

Yeah. These slabs lack looks don't they. Samsung got a flip phone about to be release.

4. IronTech

Posts: 153; Member since: May 27, 2016

*moaning

6. 22MNasby

Posts: 6; Member since: Feb 20, 2016

LG makes good phones. The problem with LG is there not very smart. They want to beat out apple and Samsung by announcing things before them but there phone are not ready for like 2-3 months. That's plan stupid. Also there marketing team sucks. Look how many iPhone and Samsung commercials there are. Damn look how many pixel commercials there are. Now when's the last time you've seen a LG commercial. This explains why there not selling hardly any phones.

11. TerryTerius unregistered

I'm highly unconvinced the average consumer bemoaned the industry wide death of removable batteries. I don't take comment sections on tech sites to be anywhere close to the mindsets of the average consumer, in some ways. But SD slots are a bigger deal. If LG was really selling what everyone wanted, their sales would be better. Marketing is part of that, but it doesn't fully explain why they're underperforming if they're supposedly selling the ideal product.

12. VZWuser76

Posts: 4974; Member since: Mar 04, 2010

Problem with their module setup is it was poorly implemented. It almost looked like an afterthought, whereas the Moto line looks like it was intended to be modular from the start. And right out of the gate, Moto had twice as many modules as LG did and they've added more since then. And now LG has discontinued their modular plans going ahead, leaving anyone who bought the G5 with any modules holding the bag. I'm sorry but while there are many things LG has done right, the G5 wasn't one of them.

13. ebilcake

Posts: 1227; Member since: Jul 16, 2016

Conclusion, you and LG are listening to the wrong "people"

17. jellmoo

Posts: 2562; Member since: Oct 31, 2011

- Most people don't care. - So did everyone else. - People wish they hadn't. - It's only cheap because nobody wants it. Conclusion: LG messed up badly with the G5, which was overshadowed by just about every other flagship. They then failed to capitalize on the Note 7 fiasco. They need to rethink their strategy for the G6.

23. RemovableShit

Posts: 3; Member since: Jan 03, 2017

I agree a 1000%.This is why I always by LG for a while. When other companies turned to greed, adopted a uni-body primarily for financially gain (battery dead - - - > New Phone), LG always responded with top phones that are better, lighter (skin), better less-bloaded UI... Etc. They need to look at their marketing startegy and the rest are history

7. Carl3000

Posts: 240; Member since: Oct 11, 2014

Companies like LG, Sony, and HTC will be replaced by OnePlus, Huawei, and Xiaomi by 2019. They're the new standard in mobile phones. Until they start packing their phones with features worth their absurd prices, these little guys will creep up and take them out of the game.

10. ibend

Posts: 6747; Member since: Sep 30, 2014

but right now, huawei already get 3rd place on biggest smartphone's quarterly market share, and xiaomi got 6th place.. while LG, Sony, and HTC is well under that... dunno about OP market share, but his 2 BBK's sibling get 4th and 5th place (OPPO and VIVO)

14. fancollo

Posts: 130; Member since: Dec 30, 2015

i bought several LG smartphones in the past, the V10 being last one. and it will be the last one. when LG is losing money, there must be a reason. I won't buy an LG anymore, for the simple reason that LG is not selling their best device (LG V20) in Europe. Therefore the brand is gone for me and i'll be looking at others. if this is their strategy, then they will go down.

15. Trex95

Posts: 2380; Member since: Mar 03, 2013

Heard that LG phones has some issue with motherboard is it true?!

16. JunitoNH

Posts: 1946; Member since: Feb 15, 2012

LG just needs to vacate/sell the smartphone division, and use the money wisely, in R/D in other divisions. Their appliance and TV are doing well. I believe last year revenue was between 48-50 Billion. Stop wasting money, before you become the next Panasonic.

18. DONUT

Posts: 436; Member since: Jun 27, 2013

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