4/28/2010 11:19:00 AM
Poor smartphone sales push LG Mobile revenue down 20%
LG Mobile said a drop in prices contributed to first-quarter sales down 19.4% from a year earlier to KRW 3.422 trillion.
The company shipped 27.1 million handsets in the Q1, up 20% from the year-earlier period but down 20% from the 34 million sold in Q4. Profit margins fell to 0.9% from 6.4% a year ago.
The company said it aims to boost its struggling mobile division with double-digit shipment growth in the second quarter from smartphones.
LG has seen its mobile phone business suffer this year, trailing Nokia and Samsung, as it struggled with delayed product launches, and lack of hit models.
It has also been criticised for slow response to the smartphone market, in which it has less than 1% global market share.
The manufacturer said: 'We aim to boost second-quarter mobile phone shipments by a double digit percent from the first quarter and improve profitability with high-end models such as smartphones.'