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LG posts record profit in Q3, increased revenue in all divisions except mobile

As tends to happen every year around the same time, we've seen a few companies reveal their earnings reports for the third quarter of calendar year 2020 this week. LG has now joined those companies with its own report, and the conglomerate has posted revenue of 16.92 trillion won ($14.24 billion) and profits of 959 billion won ($807.14 million). This is a record third quarter for the company in its 62-year history, with revenue increasing 7.8% and operating income by 22.7% over the same period last year.

Pretty much all of LG's divisions can be credited with growth, except the LG Mobile Communications Company, responsible for LG phones. LG's mobile division reached 1.52 trillion won ($1.28 billion) in sales, similar to last year, though operating losses were lower, at 148.4 billion won ($124.9 million). LG attributes the lower losses to better cost efficiency and stronger demand for its mass-market models.

The LG Home Appliance & Air Solution Company posted revenue of 6.16 trillion won ($5.18 billion), a 15.5% increase year-on-year, and the company's best quarter on record. Profits were also the highest-ever for a third quarter, at 671.6 billion won ($565.2 million), a massive 56.6% increase over the same period last year. The LG Home Entertainment Company saw sales reach 3.67 trillion won ($3.09 billion), a 14.3% over the same period last year, and operating profit rose 13.2% to hit 326.6 billion won ($274.88 million).

Moving on to the more business-to-business side, the LG Vehicle Component Solutions Company posted a significant 23.5% increase in revenue for a total of 1.66 trillion won ($1.39 billion). It still saw operating losses of 66.2 billion won ($55.7 million), but they were lower than the same period last year. Finally, the LG Business Solutions Company saw sales worth 1.48 trillion won ($1.25 billion), 13.4% higher than the same period last year, but operating profit fell 31.1% to 77 billion won ($64.8 million).

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