LG Electronics' first-quarter profit increased by nearly 30% to benefit LED market expansion

Chinabyte's May 7 news benefited from the hot sales of home appliances such as TV sets. LG Electronics' first quarter was calculated according to international financial reporting standards, and its operating profit reached US$462 million, an increase of 26%. LG said that the economic recovery, LG home entertainment division, household appliances division and commercial solutions division outstanding performance is the main factor. From the global market point of view, in the first quarter of 2010, LG Electronics' sales were US$11.9 billion, an increase of 28% and a net profit of US$590 million.

Due to the sharp increase in consumer demand for flat-panel TVs, LG Home Entertainment’s sales in the first quarter increased 20% year-on-year to $4.5 billion, and operating profit reached $159 million. Compared with the same period of last year, LCD TV shipments surged 62% year-on-year to 5.2 million units. LG said that overall, the strong product line led by Full-LED panel LCD TV and the sales of larger high-end products will continue to drive the profit growth of LG Home Entertainment. As for the outlook for the second quarter, LG said that the TV set will enter the peak season, coupled with the "special needs of the World Cup", the market dominance in sales and profits will be further consolidated.

For the color TV market with fierce competition and fierce profits, LED has become a new profit growth point for all enterprises. In particular, this year, May 1st blew the LED horn to replace the LCD horn. According to the store data, in the first-tier cities such as Beijing and Guangzhou, LED TV sales reached about 30% of the flat.

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