Earlier today, LG posted its financial result of the Q2 2017 on its website which give us some insights on how its mobile department had flair during the last quarter. According to the reported posted, the company’s mobile arm had bagged $2.39 billion in revenue although that figure equates to a $117.27 million operating loss.
LG revealed that the more challenging quarter is “primarily due to weaker than expected premium smartphone sales”. Needless to say, we do know that the Korean company is pointing to the poorer sales of their LG G6 flagship during the last quarter which effectively ended the company’s favorable financial result during the Q1.
So what could be the reason for their downward sales of premium smartphone? We reckon that the Samsung Galaxy S8 is the culprit behind their woe, after it went on sale in April. This is clearly evident by Samsung’s tremendous operating revenue of $3.7 billion which they attributed to the positive sales of their Galaxy s8 and S8+ smartphones.
While we admit that the LG G6 is indeed one of the best flagships released this year, but it seems like LG still have a lot to do if they want to compete with their fellow Korean competitor, whose market shares greatly exceeded theirs.