LG ELECTRONICS' Q2 OPERATING PROFIT SOARS WITH DOUBLE-DIGIT GROWTH

SEOUL, July 25 (Bernama-Xinhua) -- South Korean tech giant LG Electronics reported a 61.2 per cent surge in second-quarter operating profit, driven by robust sales in home appliances and vehicle components, reported Xinhua.

The company's operating profit reached 1.2 trillion won (US$865.8 million) for the April-June period, the company announced Thursday.

Revenue gained 8.5 per cent to 21.69 trillion won (US$15.6 billion), and net income soared 222.3 percent to 629.5 billion won (US$454.2 million).

The company said both the revenue and the operating profit set new second-quarter records in its history.

The home appliance unit recorded an operating profit of 694.4 billion won (US$501 million) on revenue of 8.84 trillion won (US$6.4 billion) in the second quarter.

Both the revenue and the operating profit increased in double digits on the back of diversification in product lineup and pricing to meet growing needs in emerging markets.

The vehicle component business generated an operating profit of 81.7 billion won (US$58.9 million) on revenue of 2.69 trillion won (US$1.9 billion) in the April-June quarter.

The revenue was the highest for any quarter, while the operating profit was the strongest for the second quarter due to higher demand for premium in-vehicle infotainment products.

The TV-manufacturing division logged an operating profit of 97 billion won (US$70 million) on revenue of 3.62 trillion won (US$2.6 billion).

The revenue grew in double figures in the second quarter from a year earlier, driven by demand recovery in Europe, but the operating profit declined on increased costs.

The business solutions unit registered an operating loss of 5.9 billion won (4.3 million dollars) on revenue of 1.46 trillion won (US$1.1 billion).

The second-quarter revenue rose 9.9 per cent on-year, but the profit declined on higher costs.

--BERNAMA-XINHUA