LG Q1 figures: revenues up but shipments down

LG is the latest handset maker to announce its financials for the first quarter of 2009, and they present a mixed picture of the impact of the current recession.

Revenues were actually up 23 per cent year-on-year to $2.78 billion, although operating profit from the handsets division fell 41 per cent to $193 million for Q1.

Actual handset shipments were down 7 per cent year-on-year to 22.6 million for the quarter, although that compares well to the 19 per cent fall recorded by Nokia and the 35 per cent decline at Sony Ericsson.

LG has offered its predictions for the coming months, saying that it expects 10 per cent growth from Q1 to Q2, although it sees global handset shipments falling 10 per cent to 260 million units in Q2.

Mobile games firms are following the results of LG, Nokia, Sony Ericsson and the rest closely, as consumers tend to buy more games when they've just upgraded to a new phone. Thus, less handset sales may mean a corresponding fall in mobile game purchases.