LG Electronics has recorded a solid year-on-year rise in revenue of 9.7%, according to the South Korean electronics producer’s Q1 2017 results. The results also show that LG’s operating income has almost doubled year-on-year, with the company posting profits of KRW 921.5 bn (US$798.3 mn) in Q1 2017. The overall revenue of the electronics pioneer has risen to KRW 14.66 tn (US$12.7 bn).
LG’s Pioneering Smartphone Design Crucial in Revenue Bump
The key to LG’s healthy Q1 2017 showings is the strong sales performance of its flagship smartphone, the G6. Building upon the solid foundation of LG’s G series, one of the most widely appreciated flagship ranges in recent years, the G6 brought a new design concept on the table: A 2:1 aspect ratio display. The elongation brought about by the 2:1 aspect ratio has been much appreciated by smartphone customers and reviewers alike, and is likely to set the trend for flagships likely to be launched this year.
Unlike last year, when LG’s G5 was launched after the Galaxy S7, LG got some clean air this year thanks to the S8’s delayed launch. The G6’s technological achievements also represent a significant leap over the relatively unpopular G5.
Home Appliances and Air Solutions Posts Solid Returns
Apart from smartphones, LG also announced solid growth figures for its home appliances and air solutions, home entertainment, and the emerging vehicle components division. The home appliances and air solutions division recorded its highest profit figure in eight years, while the vehicle components division exhibited almost 50% growth from Q1 2016, primarily due to LG’s association with General Motors on the production of their electric vehicle, the Bolt.