LG today unveiled itself the economic results for the second quarter of 2016. While them income total of the company amounted to 12.050 million of dollars concerning them 12.690 million of dollars registered during the same period of the year last, is the division of Telephony mobile which worst results gets. And is that both them sales as the income fall and the LG G5, the model that is expected outside the life of the company, not has operated.
The sale of technology products for the home, mainly televisions and air conditioning systems, has been the firm mattress during the past three months, from April to June. That has been the key to the manufacturer has declared some benefits of 503 million of dollars, a 140% above them 222.52 million of dollars earned during the same period of the year last. However, the division of telephony Mobile has been the note negative of such results economic since in addition to register some income a 12% below the quarter of 2015, also has with a loss operational of 132 million of dollars.
LG has announced that it has sold a total of 13.9 million smartphones during the second quarter of 2016. This value is significantly higher than the 13.5 million terminals sold during the first three months of the year, but fails to overcome the 14.1 million phones sold during the same period of last year. Much of the turnover of the company focuses on the mid-range, that 8% better. However, the distribution of smartphones premium, where the LG G5 is the head, do not respond. Income from the sale of these teams has been the signature 2,860 million dollars, which contrasts with the 3.330 billion dollars raised during the same period of last year. 470 million dollars less, although the more worrying are the 132 million dollars declared as operating losses.
The LG G5 not working
The South Koreans played this year 2016 with the introduction of the LG G5, the new flagship with which the brand wanted to surprise by its smartphone “modular” concept. However, since that is put on sale; the mercury on the thermometer not amounted than expected, so much that the economic efforts made in marketing and advertising events have not been profitable. The investment made not has returned to the coffers of them South Koreans it expected, but has left losses of some 120 million of euros. Sponsorships from major to give visibility to the LG G5 in Spain include the sponsorship of athletic Fernando Torres. This was the face in the event of presentation of the smartphone in our country alongside Araceli de la Fuente, Director of marketing for LG phone. Despite the strong campaigns and promotions, the sales of the LG G5 not have been them expected, something that it marks not has dear reveal.
The article LG recorded a decline in revenues from the sale of mobile and loses money was published in MovilZona.