LG HelloVision Reports Q3 Operating Profit of 11.3 Billion KRW, Up 22% YoY

[Asia Economy Reporter Eunmo Koo] LG HelloVision announced on the 5th through a public disclosure that its consolidated operating profit for the third quarter of this year reached 11.3 billion KRW, a 21.8% increase compared to the same period last year. During the same period, sales increased by 2.0% to 267 billion KRW, and net profit also rose by 29.4% to 7.6 billion KRW.

By segment, the HOME division recorded revenue of 170.3 billion KRW (TV 138 billion KRW, Internet 28.7 billion KRW, Internet phone 3.7 billion KRW), and the Mobile Virtual Network Operator (MVNO) division posted revenue of 42 billion KRW (service revenue 38.2 billion KRW, device revenue 3.7 billion KRW). Other revenues, including media and rental, amounted to 54.7 billion KRW, up 16.3% year-on-year.

Subscriber net growth continued across all business divisions. In the HOME segment, digital cable TV subscribers increased consecutively for three quarters starting from the first quarter of this year, and internet subscribers have maintained net growth since last year. LG HelloVision evaluated that the introduction of ‘U+ Idle Nara’, expansion of Giga Internet coverage, and synergies with LG Uplus effectively enhanced the fundamental competitiveness of broadcasting and internet services, driving consumer subscriptions.

In the MVNO segment, net subscriber growth continued for four consecutive quarters, and the LTE ratio (83%) reached an all-time high. Amid the trend of young generations combining unlocked devices with LTE SIM cards, increasing partnerships with non-face-to-face and lifestyle-oriented distribution channels and strengthening data benefits improved accessibility to SIM card products, which is interpreted as meeting consumer needs.

Jae-yong Ahn, CFO of LG HelloVision, stated, “With the increase in digital TV and MVNO subscribers, both qualitative and quantitative indicators have improved simultaneously, sustaining solid growth. Through the exclusive cable TV launch of ‘Disney Plus’ in the fourth quarter, we will strengthen content synergies with existing ‘Idle Nara’ and ‘Netflix’ services, accelerate targeting of families in their 30s and 40s and younger generations, and secure additional growth opportunities.”