LG Electronics will resume the world’s number 1 sales and earnings over US Whirlpool

Ticket 2020.05.01 17:30
The | Revision 2020.05.01 17:39

LG Electronics’ first quarter sales and operating profit beat US Whirlpool. USA LG Electronics recaptured the summit ranking second in the world in the second half of last year and falling to second in the second half.

According to the industry on Day 1, Whirlpool announced that it posted sales of $ 4.325 billion (approximately 5.2 billion won) and an operating profit of $ 260 million (approximately 31.6 billion won) in the first quarter. In the first quarter of this year, appliances from LG Electronics (H&A headquarters) had sales of 5.48 trillion won and an operating profit of 7,535 billion won. LG Electronics’ consumer electronics accounts for more than W200bn in sales and W430bn in operating profit.

LG Electronics’ consumer electronics has been # 1 in the world in terms of operating profit, beating Whirlpool since 2017.

Sales fell. LG Electronics’ sales of consumer electronics outperformed Whirlpool for the first time in the first quarter of last year, and also surpassed Whirlpool in the second quarter. However, LG Whirlpool sales were KRW 21.5 trillion and Whirlpool sales were KRW 23.55 trillion annually.

In the industry, sales of new appliances, such as dryers and clothing manager stylists, have increased, and growth in the premium consumer electronics market has shown that LG Electronics’ appliances have overtaken Whirlpool. Based on growth in new home appliances, LG Electronics’ home appliance sales, which were 17 trillion won in 2016, topped 20 trillion won last year for the first time. On the other hand, whirlpool sales have stagnated at the 23-24 trillion won level for several years.

The concern is whether LG Electronics could take Whirlpool’s # 1 position in the world annually. The variables are the new coronavirus infection (corona19) and the test rate. Whirlpool’s dependence on the US is likely. USA Cause more damage from Corona’s aftermath than LG Electronics. Whirlpool represents 50% of the US market. USA And 20% of LG Electronics. On the other hand, the exchange rate is a disadvantage for LG Electronics. If the exchange rate continues to be as high as it is now, the amount of converted Whirlpool dollars to Korean won will increase.