LG Electronics Q2 net income down 3.1% on rising costs

LG Electronics said Friday its second-quarter net profit declined amid rising logistics and tariff costs, despite outperforming market expectations. In a regulatory filing, the company posted a net profit of 609.7 billion won ($442.5 million) for the April-June period, down 3.1 percent from a year earlier. Its operating profit plunged 46.6 percent on-year to 639.4 billion won, and revenue decreased 4.4 percent to 20.73 trillion won. The earnings exceeded market expectations. The average estimate of net profit by analysts stood at 173.2 billion won, according to a survey by Yonhap Infomax, the financial data firm of Yonhap News Agency. LG Electronics attributed the better-than-expected net profit to equity gains from affiliates. However, the company noted that waning demand in major markets and external challenges, including U.S. tariff uncertainties and intensifying competition, weighed heavily on its operating profit and sales. Rising costs, including logistics expenses, also affected overall profitability compared with the same period last year. Among its divisions, the home appliance andWeiter zum vollständigen Artikel bei Korea Times Weiter zum vollständigen Artikel bei Korea Times