Not too long ago, Reuters reported that LG was looking to outsource some of its smartphone business, particularly when it comes to low-end devices. Now a rumor has popped up that the company is looking to sell its smartphone business altogether, courtesy of Korean outlet TheElec. However, LG's global communicator Ken Hong confirmed to us that there's absolutely nothing to these rumors.
LG has released its latest quarterly results, and you're never going to guess what happened. It's getting to be an old story at this point: LG makes money, but the smartphone segment drags it down. That's the case with LG's latest Q1 2019 results.
LG just released the company's Q3 2016 financial results, and while at large LG is still profitable, its mobile unit is turning into a truly massive drag on the greater business. I've dug through about five years of LG's quarterly results, and I can't find a single one with a greater operating loss than the staggering $389.4 million the company reported this morning. This time last year, the mobile division was losing money, but not nearly on this scale. For reference, even at its peak bleeding during its ownership by Google, Motorola was only almost managing to burn this much money per quarter.