LG Announces Global Startup Competition to Recruit New Businesses for Innovation Center
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By News Reporter
Company Pushes Boundaries With Innovative Business Models
While Balancing Core Operations and Future Growth to Create New Opportunities
SEOUL, April 25, 2024 — LG Electronics Inc. (LG) announced first-quarter 2024 consolidated revenue of KRW 21.09 trillion and operating profit of KRW 1.33 trillion. The company’s home appliance sector demonstrated global leadership, achieving record-breaking revenue and double-digit operating profit margins. The EV components sector, a key driver of future growth, continued its steady expansion. Both the TV and business solutions sectors experienced year-on-year sales growth and returned profits compared to the previous quarter.
Despite navigating challenging macroeconomic conditions such as high commodity prices, volatile exchange rates, rising interest rates and delayed demand recovery, LG achieved its highest-ever total revenue for a first quarter. This milestone underscores the effectiveness of implementing sustainable business models like subscription services and leveraging growth opportunities in the promising B2B sector. LG’s emphasis on differentiating features such as AI, energy efficiency and customer-centric design has strengthened its competitiveness in the premium market. Furthermore, the strategic approach of offering diverse product lineups and flexible pricing structures enabled the company to successfully navigate polarized demand trends.
Operating profit surpassed KRW 1 trillion for the fifth consecutive year, showcasing LG’s strong performance in the face of intensifying market competition. The company’s focus on content/service businesses and direct-to-consumer sales via the Online Brand Shop (OBS) has fueled qualitative growth. Efforts to stabilize raw material and logistics costs, coupled with production location flexibility, have further bolstered profitability.
The LG Home Appliance & Air Solution Company generated first-quarter revenue of KRW 8.6 trillion and an operating profit of KRW 940.3 billion. This represents a notable 7.2 percent increase in revenue compared to the same period last year, setting a new record for first-quarter performance. Operating profits reached the second-highest level in the company’s history, with an operating profit margin of 10.9 percent, underscoring the company’s exceptional global competitiveness.
Driven by its core technologies, particularly in motors and compressors, LG’s home appliance business continues to innovate within a mature market landscape. With a commitment to industry leadership, LG is pioneering transformative initiatives such as product subscription services and advancing the concept of ‘Affectionate Intelligence’ appliances. These innovations are tailored to empathize with and address customer needs effectively. Moreover, LG is strategically expanding its B2B ventures, including HVAC and built-in solutions, to capitalize on emerging growth opportunities.
The LG Vehicle component Solutions Company reported first-quarter revenue of KRW 2.66 trillion and an operating profit of KRW 52 billion, reflecting an 11.5 percent year-on-year revenue increase. The ongoing conversion of backlog orders into revenue is progressing steadily. Despite ongoing investments in overseas production sites to fulfill new orders and meet OEM demands, the company has maintained stable profitability, benefiting from economies of scale resulting from revenue expansion.
While there are expectations of a slight slowdown in the recent growth of EV demand, the demand for high-value-added EV components continues to rise steadily. LG is proactively addressing these market dynamics by developing a balanced portfolio, spanning from in-vehicle infotainment to powertrains and headlamps. The company aims to ensure sustained revenue growth and a stable profit base by actively adapting to these market shifts.
The LG Home Entertainment Company reported first-quarter revenue of KRW 3.49 trillion and an operating profit of KRW 132.2 billion. This represents a 4.2 percent increase in revenue compared to the same period last year, driven by a resurgence in TV demand in Europe and the successful launch of new 2024 models. The positive operating profit was fueled by the robust performance of the webOS content/service business, alongside traditional product sales. Despite challenges such as rising LCD panel prices, the company effectively managed profitability.
Looking ahead, a gradual recovery in the TV market demand is anticipated in the second half of the year. LG’s strategy focuses on leveraging its globally leading OLED TV and premium LCD QNED TV offerings while continuously enhancing the profitability of the webOS platform business, which is poised for rapid growth.
The LG Business Solutions Company reported first-quarter revenue of KRW 1.57 trillion, marking a 6.5 percent increase year-over-year, and an operating profit of KRW 12.8 billion. The launch of new LG gram laptops, featuring on-device AI and timed for graduation and enrollment seasons, garnered positive market feedback. In addition, sales of commercial display products, including electronic whiteboards and LED signage, experienced growth. While operating profit returned to positive territory from the previous quarter, there was a slight decrease compared to the same period last year, attributed to factors such as rising component prices and intensified competition.
This year, the overall IT market is expected to maintain similar demand levels to the previous year, with a slight growth anticipated in the commercial display segment. There is an expected increase in demand for high-spec IT products like gaming monitors and LED signage. LG aims to lead the market with strategic IT products tailored to customer needs, integrating gaming-specific features and OLED displays, alongside premium LED products. Efforts to proactively develop promising new businesses such as robotics and EV charging continue to drive future growth prospects.
Earnings Conference and Conference Call
LG Electronics will hold a Korean / English conference call on April 25, 2024, at 16:00 Korea Standard Time (07:00 GMT/UTC). Conference call participants should pre-register online to receive a private PIN. The corresponding presentation file will be available for download at the LG Electronics website before the call.
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By News Reporter
With a 360-degree Rotatable Handle and Auto Screen Adjustment Feature, the Latest
CineBeam Model Delivers High-quality Content Consumption Anytime, Anywhere
SEOUL, Mar. 15, 2023 — LG Electronics (LG) is set for the global launch of the LG CineBeam Q (model HU710PB). The LG CineBeam Q will be available for pre-orders from March 18 with exclusive benefits.1 The global release will begin in South Korea this month and will roll out in other markets, including US, Canada, Australia, Germany, Spain, France, UK, several countries in Asia and the Gulf region from April. Furthermore, the innovative projector aims for further expansion into additional countries.
Unveiled at CES 2024, the LG CineBeam Q projector is designed to complement users’ lifestyles, offering maximum portability with its compact design featuring a 360-degree rotatable handle. Intended for seamless transitions between indoor and outdoor settings, the CineBeam Q caters to users seeking elevated entertainment experiences free from constraints of location.2
The LG CineBeam Q provides flexibility for effortless content consumption anytime, anywhere.2 Whether used as an educational aid for families or a movie screen for social gatherings, the versatile lifestyle companion integrates into any room or outdoor area. When not in use, the CineBeam Q projector acts as a chic interior accessory, complementing any space with its minimal design. Additionally, users can activate the Light Drawing function to enhance the ambiance of a space with captivating digital images. This image-mapping feature projects images onto the wall, elevating the room with tranquil mood lighting.
Extending beyond its portable design, the CineBeam Q refuses to compromise outstanding picture quality, projecting stunning 4K UHD resolution images up to 120 inches and delivering vibrant, vivid pictures with a remarkable 450,000:1 contrast ratio and 154 percent coverage (overall) of the DCI-P3 color gamut.
The CineBeam Q projector boasts versatile and convenient features that effectively solve portability issues associated with conventional projectors, which can be a hassle to set up and move around. Equipped with Auto Screen Adjustment, the auto-focus feature optimizes image placement and size, creating an immersive viewing experience in any space, while eliminating the inconvenience of the setup process.3 Further enhanced by the latest version of the intuitive LG webOS platform, viewers can watch all their favorite shows with seamless access4 to popular streaming services like Netflix, Disney+, Prime Video and YouTube.5 Additionally, it allows users to effortlessly share content from their smart devices via AirPlay 2 and Miracast.6
“The LG CineBeam Q stands out as a truly unique projector, not only for its exceptional picture quality and impressive visuals but also for its ability to seamlessly blend into any home environment as a stunning art piece,” said YS Lee, vice president and head of the IT business unit of LG Business Solutions Company. “Content lovers will be delighted by the portability of the projector lineup, which delivers unparalleled cinematic viewing experiences anytime, anywhere.”
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1 Benefits for pre-order purchase may vary by country.
2 The projector operates solely through external power sources and does not feature a built-in battery. It necessitates connection to a power cord or external battery. Also, the model requires space suitable for projection such as walls, ceilings and similar surfaces.
3 If the distance from the screen exceeds 2 meters or the angle of placement is over 25 degrees, the auto screen adjustment may not work properly.
4 Available when the device is connected to Internet or Wi-Fi network.
5 Many streaming apps available on webOS require a paid subscription. Support for specific streaming apps may vary by country. Users are required to have an account for the streaming services.
6 Available when the device is connected to Internet or Wi-Fi network.
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By News Reporter
Features Seamless Integration With LG StanbyME Screens’ UX/UI and Sound System
to Enhance Home Entertainment or Works Effectively as a Highly Portable Speaker
SEOUL, Mar. 8, 2024 — LG Electronics (LG) announces the global launch of the LG StanbyME Speaker (model XT7S), the company’s latest portable speaker which works in harmony with an LG StanbyME lifestyle screen or as a standalone speaker that can be taken anywhere.
Designed to enrich both indoor and outdoor entertainment, LG StanbyME Speaker’s compelling audio quality and remarkable versatility caters to the diverse lifestyles and preferences of today’s users. Ideal for design-conscious individuals who relish streaming content and music at home or on the go, this speaker hit the market in Korea and the U.S. and will be made available in more regions later.
Engineered to offer the complete entertainment experience when combined with a StanbyME screen, this speaker features seamless, intuitive pairing and control through the remote control that comes with the StanbyME screen. This allows users to effortlessly toggle their speaker and screen on and off with a single press, while also seamlessly connecting them via Bluetooth. LG StanbyME also boasts a dedicated widget with convenient one-stop control center and an overview of the speaker’s status.
To further elevate audio-visual pleasure through audio quality, LG StanbyME Speaker’s WOW Orchestra feature combines it with the StanbyME screen’s built-in audio system, creating a unified audio setup and delivering an outstanding sound experience. What’s more, LG StanbyME’s α (Alpha) 7 Gen 6 AI processor optimizes sound by content type, while the 20-millimeter dual tweeters on the StanbyME speaker deliver clear, highly detailed high frequency stereo sound. The dual passive radiator on this speaker also creates deeper, more compelling bass.
Offering multifaceted versatility, the all-new StanbyME speaker can seamlessly complement the StanbyME screen or be used as a standalone speaker anywhere, providing users with the remarkable level of flexibility that serves all their sound entertainment needs. Thanks to a dedicated cradle, the speaker attaches to LG StanbyME effortlessly, allowing users to place it in the perfect position for enhanced sound.
Moreover, with an IPX5 rating and up to 16 hours of playback, this portable speaker ensures consistent audio performance everywhere they go. With its compact and lightweight body (78-millimeter height, 326-millimeter width, 87-millimeter depth and 0.9 kilograms), LG StanbyME Speaker can be carried from one place to another with ease, while its ‘edge lighting’ feature offers eye-pleasing lighting effects that add a subtle yet visually captivating element to lift the mood and atmosphere of any setting or occasion.
LG StanbyME Speaker is currently available from LG.com website in Korea and the U.S. and is scheduled to roll out in other major markets worldwide.
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By News Reporter
In the ever-evolving world of home entertainment, LG stands as an undeniable leader for its groundbreaking contributions to the global TV market. Dominating the global OLED TV market for 11 consecutive years, the company’s commitment to innovation and excellence shines brighter than ever, with differentiated consumer experiences that distinguish LG TVs from the rest.
According to market research firm Omdia, LG topped the global OLED market last year with shipments totaling 3 million OLED TV units. Boasting an impressive 53 percent share of the global OLED TV market based on shipment, LG has firmly held its premier spot as the undisputed leader of the OLED TV market with an array of form factors and size options.
In an era of “the bigger, the better,” the desire for extra-large, premium TVs continues to rise and last year was no different. Amidst increasing demand, the share of TVs sized 75 inches and above exceeded 20 percent based on revenue in premium TV markets, including North America and Europe.
The shipments of OLED TVs sized 75 inches and above have seen explosive growth, surpassing 25 percent based on revenue in the entire OLED TV market. With an ultra-large model accounting for one out of every four OLED TVs sold, the trend has approached an annual average increase of nearly 70 percent over the last five years, including last year.
LG reaffirms its market dominance with a monumental share approaching 60 percent in total shipments of OLED TVs over 75 inches. LG is actively broadening its lineup of wireless OLED TVs, introducing 97-inch, 83-inch and 77-inch models with its groundbreaking 4K/120Hz wireless transmission solution, extending the availability of wireless OLED TVs while meeting the growing demand for ultra-large premium options in the North American and European markets.
As the demand for premium ultra-large TVs continues to soar, LG is bolstering its OLED TV lineup with an expanded range of wireless OLED TV models as well as elevated picture and audio quality with advanced AI processors, including the α (Alpha) 11 AI processor. LG’s latest OLED TVs will also offer an even more personalized home entertainment experience with the webOS smart TV platform.
The combined shipments of LG’s OLED and LCD TVs last year totaled over 22.53 million units, marking a 16.3 percent share in the global TV market in 2023 based on revenue. With further options that demonstrate the company’s prowess in the global TV market, LG QNED TVs boast LG’s Quantum Dot and NanoCell color technologies for precise and vibrant colors. Driven by these remarkable QNED models, LG ranked second in the quantum dot LCD TV market last year with a 14.7 percent revenue share, excluding LG NanoCell TVs from this figure.
The latest LG QNED TVs feature Mini LED technology and an Alpha 8 AI Processor which boasts a 1.3-fold increase in AI performance compared to its predecessor, the Alpha 7 Gen 6 processor, for more precise gradations of color. With a diverse lineup, customers can select their preferred model with sizes ranging from 43 inches to the massive 98-inch model.
The global TV market’s shipments exceeded 201 million last year overall, a slight decrease compared to the previous year. LCD TV shipments remained below 200 million units for the second consecutive year, while OLED TV shipments, including LG’s, reached 5.6 million units.
Discover the most recent updates in the home entertainment industry and explore LG’s cutting-edge innovations by visiting the
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By News Reporter
Highest Annual Revenue in History With Home Appliance and
Vehicle Components Showing Growth for Eight Consecutive Years
SEOUL, Jan. 25, 2024 — LG Electronics Inc. (LG) announced its financial results for the year 2023, disclosing a consolidated revenue of KRW 84.2 trillion and an operating profit of KRW 3.55 trillion. This marks the third consecutive year of achieving record-breaking annual revenue. The operating profit is also solid, approaching levels seen during the prior period of pent-up demand.
Despite challenging external factors such as an economic slowdown and reduced demand, LG’s core business of home appliances and the burgeoning vehicle components business have demonstrated remarkable resilience, maintaining continuous growth for eight consecutive years. The combined revenue of these businesses exceeded KRW 40 trillion last year, a substantial increase from KRW 18 trillion in 2015. Over the same period, the proportion of these two businesses in the total revenue has risen from 32.5 percent to 47.8 percent.
The performance is attributable to LG’s strategic efforts to enhance its business portfolio. The company successfully expanded its B2B business by identifying market turning points early on and integrated new business models, including subscription services, into existing frameworks. Furthermore, LG’s innovative content and service business model, leveraging its extensive user base of hundreds of millions of products globally, has also contributed to securing robust profitability.
Looking ahead, LG is committed to a continual transformation from a mature business-oriented structure to a future growth-oriented one. In this year, the company will concentrate its capabilities on breaking through limits to maximize its business potential. Guided by the newly established Overseas Sales & Marketing Company, LG will strive for additional growth and expanded product coverage, particularly in emerging markets where there are greater growth opportunities.
The LG Home Appliance & Air Solution Company achieved an annual revenue of KRW 30.14 trillion, marking eight consecutive years of growth and ushering in the era of KRW 30 trillion. Introducing new business models including subscription services and expanding the B2B share in areas such as HVAC, components and built-in solutions contributed to this growth. The operating profit recorded an increase of over 76 percent compared to the previous year, reaching KRW 2.08 trillion.
In the coming year, the Company will accelerate a shift in its business model towards future readiness, including Direct-to-Consumer initiatives. It aims to expand the deployment of home appliance operating systems and extend subscription services to international markets. Additionally, there will be a swift progression in building smart home solutions that reflect the value of “Zero Labor Home.” In terms of products, the Company will seek to maintain its strategic approach of solidifying the premium leadership of key products, such as washing machines and refrigerators, while swiftly expanding region-specific lineups. To sustain continuous growth in the B2B sector, especially in areas like HVAC, the Company plans to strengthen its capabilities by establishing a complete, local business operation that encompasses product development, production and sales, with a focus on the evident electrification trends in regions such as North America and Europe.
The LG Vehicle component Solutions Company achieved an annual revenue of KRW 10.1 trillion and operating profit of KRW 133 billion. In its 10th year since establishment, the Company not only surpassed the KRW 10 trillion revenue mark but also demonstrated eight consecutive years of growth since it began disclosing performance results in 2015. The share of total consolidated revenue has increased to 12 percent. This year, the Company aims to drive both external growth, leveraging a substantial order backlog, and qualitative growth in its operations. In in-vehicle infotainment, the Company is dedicating efforts to secure capabilities in the area of software-defined vehicles in response to the needs of OEMs. Drawing upon its differentiated technology accumulated in the home appliance and IT sectors, the Company will seek to further enhance the in-vehicle customer experience. In the e-Powertrain area, focus will be on strengthening product capabilities and early stabilization of overseas production bases to enhance responsiveness to customer demands. Additionally, in headlamps, there are plans to expand premium product orders while simultaneously improving operational efficiency.
The LG Home Entertainment Company recorded an annual revenue of KRW 14.2 trillion and operating profit of KRW 362 billion. The webOS platform-based content and services business solidified its position as a new source of revenue, showing a significant increase in operating profit compared to the previous year. The revenue slightly decreased amid a relatively slow recovery in demand for premium products like OLED. In anticipation of a progressive recovery in TV demand this year, the Company will seek to strengthen both the top-tier OLED lineup and the QNED lineup, following a dual-track strategy to lead the premium market. Simultaneously, the Company is accelerating its transformation into a media and entertainment powerhouse. In the current year, the webOS platform business is slated for nurturing as a significant revenue-generating venture in the scale of trillions.
The LG Business Solutions Company recorded an annual revenue of KRW 5.4 trillion and operating loss of KRW 42 billion. The revenue saw a slight decrease compared to the previous year due to delays in IT demand recovery and reduced investments from key enterprises. Increased investments in future growth areas such as robotics and electric vehicle charging had an impact on profitability. In this year, the Company is positioning itself with a competitive lineup of IT products, including gaming monitors and the LG gram Pro, and will actively seek to find business opportunities targeting distinct verticals such as government agencies and schools. As a leader in LG’s B2B business, it aims to accelerate the shift from supplying single products to integrating and providing adjacent solutions. With a significant proportion of new businesses within the organization, investments will be prioritized for future preparations rather than short-term management performance.
Earnings Conference and Conference Call
LG Electronics will hold a Korean / English conference call on January 25, 2024, at 16:00 Korea Standard Time (07:00 GMT/UTC). Conference call participants are instructed to pre-register online to receive a private PIN. To participate in the conference call, dial +82 31 810 3130, enter passcode 6418# and then the PIN. The corresponding presentation file will be available for download at the LG Electronics website before the call.
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