LG Electronics handset sales boost earnings in second quarter

SEOUL, July 21 (Xinhua) -- The LG Electronics Inc., a South Korean company producing diverse hi-tech products, said Monday that its earnings soared 83.8 percent year-on-year in the second quarter thanks to the increased sales of its mobile phones.

Net income reached 706.9 billion won (694 million U.S. dollars)from April to June period, a huge increase from the net income of 384.6 billion won in the same period a year ago, LG said in a regulatory filing.

According to LG, sales gained 22.5 percent year-on-year to 7.23trillion won, while the company's operating profit more than tripled from 2007 and reached 634.8 billion won.

LG attributed the earnings hike to its handset sales, which rose to a record 27.7 million units, compared to 24.4 million in the first quarter, as the success of Apple Inc.'s iPhone prompted the demand for touch-screen handsets.

Yonhap reported that many industry watchers say LG has overtaken Motorola Inc. in its mobile phone sales in this quarter and ranked third largest world handset maker after Nokia Corp. and Samsung Electronics Co..