LG has since closed its smartphone business after failing to gain significant market share in the world. This has been attributed to many reasons, including its reduced marketing for phones, and Samsung’s upper hand in the business.
It does not mean that the company is not making strides in other areas. For instance, LG’s OLED TVs are some of the most sought-after high-end televisions, and its other devices, mainly for home use/entertainment have seen the tech company stay afloat.
According to the corporation, it recorded first-quarter 2022 consolidated sales of KES 2.03 trillion the highest quarterly revenue in company history. The operating profit of KES 180.54 billion was positively impacted by royalty income, partially offset by a one-time workforce restructuring cost.
Compared with the first quarter a year ago, revenues grew by 18.5 percent, and profitability soared by 6.4 percent, reflecting very strong demand for LG home appliances as consumers around the world continue their focus on healthier living, energy efficiency, and home upgrades.
The vehicle component business unit’s sales increased driven by higher demand for auto parts because of a proactive and pre-emptive response to shortages of automotive semiconductors.
The LG Home Appliance & Air Solution Company generated first-quarter sales of KES 766.13 billion with an operating profit of KES 43.01 billion.
This was followed by The LG Home Entertainment Company, which recorded sales of KES 391.18 billion with an operating profit of KES 18.1 billion, and then the LG Vehicle Component Solutions Company achieved first-quarter sales of KES 180.54 billion.
The LG Business Solutions Company saw improved first-quarter revenues of Ksh. 193.27 billion, an increase of 23.7 percent from a year ago largely on the back of continued demand for products such as monitors and PC products at the beginning of the academic season and recovery of the B2B segment, while product competitiveness and operational efficiencies also improved.