LG

The G5 may be slumping in sales, but LG is about to announce its best quarterly results in two years

The G5 may be slumping in sales, but LG is about to announce its best quarterly results in two years
LG's playful G5 is, unfortunately, hardly as successful as the manufacturer hoped it to be — the company's expectations for shipped G5 units for the year has rapidly dropped, from the initial 12 million to the depressing 5.5 million. According to analysts, the company's Mobile Communications branch is about to report a loss of between $110 and $112 million for this year's second quarter.

Weep not for LG, however, as the company seems to be doing quite well in everything else, not smartphone-related. The company expects its overall quarterly report to be very encouraging, with guesses from both LG and independent analysts saying that the company is about to report a two-year profit high. LG didn't disclose any details, as it is about to publish its quarterly report later this month, but analysts put the company's profit for the past quarter somewhere between $510 million and $522 million (₩585 – ₩599 billion). LG's last quarterly high, back in Q2 of 2014, was about $530 million (₩610 billion).

No, this is not thanks to the G5 nor its “Friends” or Playground modules. According to analysts, LG's home appliances and television sets keep the company's profits up. It's still the world's second biggest TV maker by share (Samsung being first), which is a good thing to be in the wake of the UEFA Championship cup. Additionally air condition and premium-grade house appliance items were also highly sought after this past quarter.

The mobile branch by itself will probably be reporting a fifth consecutive losing quarter, with hopes for Q3 being low to non-existent. Could a possible successor to the LG V10 turn the ship around?


source: Reuters

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