South Korean company LG Electronics has made a major comeback in TV and smartphone segments. Smartphones and TV segments are two of the company’s crucial cash-generating sources. One of the senior executives of the company said that its home entertainment unit is led by president Kwon Hee Won, who has become the main reason for the comeback.
LG is the second largest TV manufacturer in the world. Jung Do hyun, LG Electronics CFO said, “We expect to see an increased profit margin in the second quarter as more demand for LG’s premium TVs and lower costs help us improve our bottom line”.
Jung went on to say that the company is going to release more TV models with affordable pricing. In a recent meeting, CFO said that they will try hard to boost the return on investment, by spending more on new product releases. The home entertainment division is shifting towards profitable models, such as ultra high-definition (UHD) TVs and OLED TVs.
The company is also using in-house digital chips and other patented technologies to make premium TV models faster. LG is also dealing with its competitor Samsung Electronics for the first-mover advantage in these two lucrative segments.