LG Electronics forecasts 61.2% increase in operating profit in Q2

LG Electronics UNEP campaign unveiled in New York’s Times Square. (LG ELECTRONICS)

LG Electronics forecasts a 61.2 percent increase in second-quarter operating profit from a year earlier, marking its highest revenue and operating profit in the fiscal year.

In a preliminary earnings report released on Friday, the Korean electronics maker said it expects to post an operating profit of 1.2 trillion won ($871 million), beating market expectations of 998.1 billion won compiled by market tracker FnGuide.

The company forecast quarterly revenue of 21.7 trillion won, up 8.5 percent from a year earlier and exceeding the market consensus of 21.3 trillion won.

The preliminary forecast does not include detailed analysis, but analysts attribute this growth to high sales in the business-to-business (B2B) sector and the development of subscription models for home appliances.

BY LEE JAE-LIM ([email protected])