LG Electronics Inc. (LG) has announced a 2016 operating profit of 1.34 trillion Korean won (KRW) ($1.16 billion USD), a 12.2% increase from 2015.
The growth was due in large part to strong performance by home appliances, air solutions and home entertainment, the company added.
Fourth-quarter 2016 sales of KRW 14.78 trillion (USD 12.79 billion) were 11.7% higher than the previous quarter and 1.5% higher than the fourth quarter the previous year. Both the LG Home Appliance & Air Solutions Company and LG Home Entertainment Company posted their strongest operating profit ever in 2016. However, due to losses from mobile communications and vehicle components, LG reported a fourth-quarter net loss of KRW 258.80 billion (USD 223.98 million).
LG Home Appliance & Air Solutions Company reported revenues of KRW 17.23 trillion (USD 14.92 billion) for full-year 2016 and KRW 4.04 trillion (USD 3.50 billion) in the fourth quarter. This was an increase of 5.6% year-over-year, driven in large part by strong sales in the Korean and North American markets where products such as TWINWash washing machines and Door-in-Door refrigerators continued to be popular, LG explains.
LG Home Entertainment Company posted fourth-quarter revenues of KRW 4.79 trillion (USD 4.15 billion), an increase of 15.7% quarter-over-quarter as a result of strong sales of premium LG OLED and 4K Ultra HD TVs in North America, Europe and Asia. Full-year operating profit of KRW 1.24 trillion (USD 1.07 billion) was the highest in the history of the Home Entertainment Company and 2016 revenues of KRW 17.43 trillion (USD 15.08 billion) were the highest among all LG business units, the company notes.
