LG Electronics has chalked up one of its most successful quarter profits with its smartphone sales recording a marked improvement after moving 14.5 million handsets over the last quarter.
The electronics manufacturer has announced a 165 percent increase in second-quarter net profit compared with the same period last year, reflecting strong earnings from both the TV and mobile operations.
LG reported second-quarter 2014 net profit of US $ 399.8 million and operating profit of US $ 588.5 million, an increase of 26.5 percent year-over-year. Unaudited second quarter consolidated revenues of US $ 14.93 billion increased 7.7 percent from the previous quarter.
The mobile phone sales were 20 percent more than last year and LG Electronics attributed the impressive performance to the uptake of the acclaimed LG G3 and mid-range L series products, with LTE products accounting for more than one-third of all LG smartphones sold this year.
As a result, sales increased 16 percent from the same period last year to US $ 3.51 billion, the highest since the first quarter of 2010. The mobile division's operating profit of US $ 83.4 million in the second quarter put an end to three consecutive quarters of losses.
LG plans to continue its global rollout of the G3 and introduce more mass tier products in the second half, including variations of the LG G3, such as the recently announced G3 Beat, and additional L Series models.The G3 is equipped with a 13 megapixel rear-facing camera with dual-LED (dual tone) flash and a 2.1 MP front-facing camera.
The new device can shoot 4K (3,840 x 2,160) videos. The killer camera features of LG G3 include 'Laser Autofocus Sensor' and 'Selfie' Mode. LG claims that the laser autofocus sensor functionality is very quick as it takes only 0.276 seconds to focus.
"The smartest innovation in a fast evolving smartphone market is creating harmony between advanced technology and a simplified user experience," said Mr Kim.
The successor to the company's well-received LG G2 is a culmination of consumer research based on LG's product development philosophy, Learning from You. "It was developed under the theme Simple is the New Smart concept comes with a fingerprint-proof metallic skin and four times the resolution of HD and almost two times higher resolution than a Full HD display," said Josep Kim, the LG East Africa Managing Director.
The LG Home Entertainment Company also saw steady performance with second-quarter revenues of US $ 4.94 billion, a 3 percent increase quarter-over-quarter and almost unchanged from the same quarter 2013.Operating profit of US $ 150 million was an increase of 64.9 percent from the same quarter last year as a result of better product mix.