LG Electronics today reported disappointing second-quarter earnings, with net profits falling over 87 percent to just $103.3 million compared to the same quarter a year ago when the company saw $817 million in net profits.
LG's mobile division suffered its fifth straight quarterly operating loss of $51 million, but sales were up slightly. LG Mobile Communications reported an 11.6 percent increase in sales in the second quarter compared to the previous quarter, growing to $3 billion.
LG managed to sell 24.8 million mobile phones, up from 24.5 million in the first quarter of 2011. The company said it sold 10 million Optimus smartphones.
Just this week, AT&T in the U.S. confirmed that it would be offering the LG Thrill 4G, a glasses-free 3D Android smartphone, for just $99 with a two-year contract, well below the ASRP of $199 for most high-end smartphones.
LG said it expects increased competition in the smartphone market due to the arrival of more 3D- and LTE-capable devices.
Shares of the company were up just under 3 percent to $79 after reporting its earnings.