LG sum up Third Quarter 2022 And the numbers put a beautiful smile on her face. In the three months ending in September, it was The highest uniform turnover rate in the company’s history: 21.2 trillion won, at the current exchange rate they make about 15 billion euros 14.1% more Compared to the number written in the same consolidated quarter of 2021.
Sunny and also not cloudy panorama when looking atoperating profit 746.6 billion won, equivalent to 540 million euros 25.1% more than Q3 2021. Among the reasons for the somewhat unexpected performance given the economic and geopolitical context, LG cites sales of premium home appliances (see MoodUp presented at IFA), then new categories of home appliances, and auto components.
But Not all roses are flowers: Taking into account the one-time costs incurred last year, LG explains, “Operating profits fall due to weak demand due to slowdown in global economy”. In short, practically no one is immune to the historical moment, so even in a positive framework, looking at the trends in detail, you will find something that refers to reality, to the context in which one operates.
The same scenario applies to division LG Home Appliance & Air Solution Company: turnover increased 5.8% in comparison year-on-year (with record-breaking), butoperating profit It is lower than it was in 2021 due to higher investments And the of logistics costs. one record operational loss to divide home entertainment Because of increased marketing investments, LG says, in response to increased competition. In the near future, the company wants to manage its marketing expenses more effectively, focus more on high-end televisions and manage its inventory more simply.
The department that deals with it Auto Components by 45.6% compared to the same quarter 2021, “Highest Quarterly Turnover of a Business Unit”. LG commented on performance citing efficient supply chain management during the division business solutions company recorded operational loss Attributable to increased costs of raw materials and logistics.