By Kwanwoo Jun
LG Electronics' third-quarter operating profit likely fell 8.4%, but the forecast still beat market consensus thanks to its affiliates' solid performance despite tough business conditions.
The South Korean consumer-electronics giant said in a preliminary earnings report Monday that its operating profit will likely come in at 688.90 billion won, equivalent to $481.9 million, for the July-September period, compared with 751.90 billion a year earlier.
The projected earnings were above a FactSet-compiled consensus estimate of 618.79 billion won.
Revenue is expected to have fallen 1.4% from a year earlier to 21.875 trillion won, LG Electronics said, also beating analysts' estimate in the FactSet survey.
Despite challenges from higher U.S. tariffs and a delayed recovery in global demand, its home-appliance segment remained competitive and continued to be the market leader, while its vehicle-component segment achieved record-high profitability, the company said.
LG Electronics said that its media and entertainment segment, which includes its television business, faced higher marketing costs amid intensifying global competition.
The company, which recently raised $1.3 billion by selling a 15% stake in its Indian unit, LG Electronics India, in an initial public offering, said it expects the proceeds to provide significant funding to accelerate business structure improvements and future growth initiatives. The Indian unit is set to list Tuesday.
The company is scheduled to release its full quarterly results later this month.
Write to Kwanwoo Jun at kwanwoo.jun@wsj.com
(END) Dow Jones Newswires
October 12, 2025 22:43 ET (02:43 GMT)
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