LG: OLED TV demand fuels record half-year sales
LG has said that demand for its premium OLED and Super UHD TVs helped push sales and operating profit to record highs in the six months to the end of June.
The South Korean consumer electronics giant said revenues increased 3.2 per cent from its 2017 first half to 30.14 trillion won (£21bn) and operating income rose 18.5 per cent to 1.88 trillion won.
“Healthy’ sales of these and other premium products lifted Q2 operating income in its home entertainment business by 44.1 per cent from the second quarter last year.
This helped the firm to repeat the double-digit profit margin performance it achieved in its first financial quarter of 2018.
LG said it expects to see weaker demand for its TVs in Latin America, the Middle East and Africa over the next six months, but said it would maintain its “solid” profit strategy by expanding sales of premium products and focus further on cost management.
Last year, LG introduced in Europe a new range of multi-HDR OLED TVs, including the “picture-on-wall” design of the W series with ultra-thin 4mm screens, and a £5m multichannel marketing campaign to promote them.
The company, which also produces a range of household appliances, first showcased its Super UHD line-up in 65in and 75in at the CES Las Vegas show in January 2016.
“In light of uncertainties surrounding market conditions, competition and the international trade landscape going forward, LG enters the second half with an intense focus on cost competitiveness and profitable growth,” the firm said.