10/24/2013 11:27:26 AM
Marketing blitz hits LG's bottom line
A marketing blitz and rife smartphone competition has pushed LG's mobile wing into a loss, despite it shifting 12 million smartphones during the summer.
In its results for the three months to 30 September, the Korean electronics company said its mobile division lost 80 billion Korean Won (£46.5m). Sales increased by 24% to 3.05 trillion Korean Won (£1.7bn). In a statement, LG said: 'LG plans to focus on increasing sales of new premium products such as the LG G2 smartphone during the peak holiday season as well as maximizing 3G and mid-tier mass devices such as the L II Series and F Series.'
Overall, the company saw its sales shrink 9% quarter on quarter to 13.89 trillion Korean Won (£7.72bn), although profits increased by 27% to 217.80 billion Korean Won (£121.21m) on 2012.
Author: Graeme Neill