LG Electronics reported fourth-quarter global sales up 6.8 percent year-on-year to KRW 14.3 trillion (USD 12.2 billion), led by demand for its LCD TVs. The parent company's operating loss narrowed to KRW 140 billion from KRW 310 billion, and the net result moved to a profit of KRW 297 billion versus a loss of KRW 671 billion thanks to strong results at affiliates such as its LCD display venture. The mobile communications division posted sales down 7.4 percent from a year earlier to KRW 4.16 trillion, and operating profit fell to KRW 56 billion from KRW 176 billion. Within the division, handset sales dropped 5.0 percent to KRW 3.89 trillion, and operating profit fell to KRW 67 billion from KRW 215 billion a year earlier. LG said it shipped 33.9 million handsets in the quarter, up 32 percent year-over-year and 7 percent more versus Q3. Annual shipments rose to 117.9 million units in 2009 from 100.7 million in 2008, as growth in North America, Europe and emerging markets offset a weaker hom emarket in Korea, LG said. The lower profitability for the activities was due to price erosion and an increase in marketing expenses for year-end inventory clearance and emerging market channel expansion, according to the company. LG forecast shipments of 140 million phones this year, good for 19 percent growth. The company said it will focus on improving profitability in developed markets and expanding its market share in emerging markets, while also strengthening its smartphone range. Overall LG expects a recovery in demand for consumer electronics in 2010 and forecast group sales of KRW 59 trillion and investments of KRW 3.6 trillion this year.

source:telecompaper