LG Electronics Inc. reported an 87% decline in net profit in the recently closed quarter as mobile handset sales continue to falter. The South Korean conglomerate’s mobile communications division posted a lower-than-expected loss of $49.8 million. On a company-wide basis, the company posted $103.4 million in profit, down from $817 million a year ago.
The company sold 24.8 million handsets during the period, which is up slightly from the 24.5 million devices it sold in the previous quarter, but down from the 30.6 million units sold a year prior. The world’s third-largest handset maker by volume is trying to reposition itself in the space with greater smartphone numbers, but has achieved minimal success thus far. The firm continues to play catch-up with the likes of Samsung Electronics Co. Ltd. and HTC Corp.
Sales at LG Mobile Communications jumped to $3 billion, up 11.6% from the previous quarter. The division also reduced losses from the previous quarter by almost half.
LG's mobile business continues to lag
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