While most coverage of LG Electronics results has focussed on its impressive growth in cellular handsets (up over 30% in revenue terms) its Flat Panel Display TV sales are almost as impressive, and it says in its report that it plans to knock Sony off its global second placed spot by year end.
That will be quite a feat because Sony relies on LG rival Samsung’s technology for its LCD panels currently, and Sony says that its displays division hopes to sell 20 million devices this year, while LG is shooting for 18 million LCD TVs alone. LG also sells Plasma panel TV sets and externally sells Plasma panels for other brand TV sets.
Judging by its performance year to date up 45% so far to ship 4.28 million devices in the quarter, LG’s aim is achievable, though let’s not count Sony out yet. LG put its success down to new model launches and having cheap enough sets available during the recession.
On the handset front LG shipped 29.8 million units against Sony-Ericsson’s 13.8 million and Motorola who is expected to ship just 14 million, while industry leader Nokia sold 100 million and Samsung half that.
LG’s quarter showed revenue up 22.5% to $9.8 billion and profit of $74 million, with cellular revenues of $3.3 billion up 34.6% and Digital Display revenues of $3.39 billion up just 16.4% from a year earlier despite units being up 45%, due to price erosion.