[2nd Report] LG Electronics Posts Record Q3 Revenue of 21.17 Trillion Won... Operating Profit Also Strong

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[Asia Economy Reporter Han Yeju] LG Electronics recorded its highest quarterly sales ever despite a global decline in TV demand.

On the 7th, LG Electronics announced its preliminary consolidated results for the third quarter of this year, reporting sales of 21.1714 trillion KRW and an operating profit of 746.6 billion KRW.

Sales increased by 8.8% compared to the previous quarter and by 14.0% compared to the same period last year. Operating profit fell by 5.8% from the previous quarter but rose by 25.1% year-on-year.

Sales surpassed the record set in the first quarter of this year, which was the highest ever.

However, considering that approximately 480 billion KRW in provisions related to the General Motors (GM) electric vehicle recall were reflected in the third quarter of last year, operating profit appears to have actually decreased compared to the same period last year. Operating profit is expected to have fallen short of market expectations due to rising raw material costs and increased logistics expenses, including higher maritime freight rates.

Although detailed performance by division was not disclosed on this day, the automotive components division is showing growth due to improved vehicle production following the easing of semiconductor shortages, and it is expected to achieve its first annual profit in nine years.