LG records record third-quarter loss

28 Oct 2010

South Korean electronics company LG has reported a third-quarter record operating loss largely due to poor mobile phone sales.

Faltering handset business in the most recent quarter compared to the same time last year have resulted in LG’s poor performance and the company has fallen behind in the ever-strengthening smartphone market.

The loss represents a huge downturn from results a year earlier. The company, a major television manufacturer, has also suffered from a lack in TV model sales.

Handset sales suffered in the third quarter and deteriorated to 10.2%, compared with a 3.5% loss margin in the second quarter.

Recently, LG released the Optimus, which supports the increasingly popular Android platform and the electronics company will no doubt be looking at the Christmas period and the Optimus to recuperate some of its losses, despite a lack of demand for its handsets in Europe and the US.