SEOUL, July 25 LG Electronics Inc,
the world's No.2 TV maker, said on Wednesday quarterly profit
more than doubled on a jump in TV sales but its cellphone
business swung to a loss, squeezed by growing competition from
Apple and Samsung as well as low-cost producers in China.
April-June operating profit rose to 349 billion won ($304.5
million) from a 158 billion won profit a year ago, in line with
a consensus forecast for 345 billion won by 21 analysts surveyed
by Reuters. In the previous quarter, profit was 448 billion won.
LG's mobile phone business made a loss of 59 billion won
after two profitable quarters. It has failed to break into the
high-end market, dominated by Apple and Samsung
, while increased competition from ZTE
and Huawei has forced it to boost marketing costs for
Shares in LG, valued at over $8.5 billion, rose 0.2 percent
after the earnings announcement, versus a 0.7 percent drop in
the wider market.
The stock hit a nine-month low last week. It has fallen over
20 percent over the past three months, underperforming a 7
percent drop in the broader market.