LG Electronics Expects Fourth-Quarter Operating Profit to Slump Sequentially

By Kwanwoo Jun

LG Electronics expects its fourth-quarter operating profit to jump on the year but slump sequentially, as it struggled with delayed demand recovery for home appliances.

The South Korean consumer-electronics giant on Monday said it expects an operating profit of 312.50 billion won ($237.8 million) for the October-December quarter, compared with KRW69.30 billion in the same period a year earlier and KRW996.70 billion in the previous quarter.

The forecast is below a FactSet-compiled consensus estimate of KRW662.12 billion.

Revenue is expected to rise 5.9% on year to KRW23.157 trillion for the December quarter, it said in its preliminary earnings forecast.

For the full year of 2023, operating profit is expected to fall 0.1% to KRW3.549 trillion while revenue is expected to rise 1.0% to KRW84.280 trillion.

"These figures demonstrate a resilient business performance...despite challenges posed by delayed demand recovery from the economic slowdown as well as heightened market competition," the company said.

LG Electronics is due to release its full quarterly earnings later this month.

Write to Kwanwoo Jun at kwanwoo.jun@wsj.com

(END) Dow Jones Newswires

January 08, 2024 01:59 ET (06:59 GMT)

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