LG Electronics has released its preliminary earnings report for the first quarter of 2023, reporting revenues of 20.4 trillion won (approximately $15.55 billion USD) and an operating profit of 1.5 trillion won (approximately $1.14 billion). According to LG, this is the second-highest quarterly revenue and the third-highest quarterly operating profit. Despite the challenging global economic conditions, LG claims that it has effectively managed its business structure and operations, which resulted in record sales.
| Comparison data | Q1’23 (won) | Q1’23 (USD) | Q1’22 (won) | Q1’22 (USD) | Q1’21 (won) | Q1’21 (USD) |
|---|---|---|---|---|---|---|
| Revenues | 20.4 trillion | ~$15.55 billion | 21.11 trillion | ~$16.05 billion | 17.8 trillion | ~$13.53 billion |
| Operating profit | 1.5 trillion | ~$1.14 billion | 1.881 trillion | ~$1.43 billion | 1.767 trillion | ~$1.34 billion |
LG also claims that there was a significant increase in profitability compared to the first quarter of last year, thanks to the positive impact of royalty income. Additionally, LG claims that its automotive parts business is growing rapidly, with its B2B segment expanding continuously. According to LG, non-hardware businesses, such as software platforms, content, services, solutions, and e-commerce are also experiencing significant growth.
LG’s first-quarter operating earnings rose from a year ago if you discount the revenues last year’s first quarter of KRW 80 billion from patent licensing. The estimated figures for each business sector were not available in Friday’s earnings guidance, but market watchers expect solid results from LG’s key business divisions, such as home appliances, TVs, and vehicle components. LG is expecting to continue its earnings growth in the second quarter, based on recovery in home appliances and TV sales.
