KOREAN HARDWARE MAKER LG has surprised investors with a solid performance in the third quarter, thanks to "better than expected performance" from its mobile division.
LG has stunned pretty much everyone with the news that it shipped 14 million phones, including seven million smartphones, in the third quarter, up nine percent compared to the number of devices sold during the previous three months. These surprise results saw LG's mobile division post a decent $19.42mn operating profit, although revenue is down slightly compared to the same quarter last year.
LG says its mobile success is due to the popularity of its LTE smartphones in Korea, Japan and the US as it manages to fight tough competition from Samsung and HTC. The firm expects things to get better still as it moves into the fourth quarter, thanks to the launch of its LG Optimus G and Optimus Vu 2 smartphones in Korea.
Following LG's third quarter earnings call on Thursday, the firm's shares rose two percent.
LG must be feeling pretty good right now after managing to prove analysts wrong with its better than expected mobile performance. However, this isn't likely to last very long, as Samsung will announce its third quarter earnings on 26 October. µ