LGU+, operating profit of KRW 285.1 billion in 3Q. 3.0%↑

LG Plus recorded good results thanks to the surge in wireless subscribers.

LG Plus announced on the 4th that it recorded sales of KRW 3.51 trillion and operating profit of KRW 285.1 billion based on consolidated financial statements in the third quarter.

Revenue is 0.7% compared to the same period last year and operating profit is 3.0%.

First, the wireless business recorded sales of 1.55 trillion won, up 1.5% year-on-year due to the growth rate of subscribers and the improvement of termination rate by more than 10%. Wireless service sales, excluding access sales, increased 1.9% from the third quarter of last year, to 1.46 trillion won.

As of the end of the third quarter, the total wireless subscribers were 19473,000. The number of quarterly wireless subscribers was 505,000, an increase of 68.9% year-on-year, and 5G subscribers rose 39.5% to 5732,000. The proportion of 5g customers is 50.2%of all subscribers.

The NO termination rate improved 0.39 percentage points compared to the same period last year, achieving 1.00%, the lowest level ever.

LG Plus reached the lowest level in the third consecutive quarter, with 1.18% in the first quarter, 1.11% in the second quarter, and 1.00% in the third quarter.

MVNO subscribers also continued to increase, recording 3602,000, up 41.4% from the third quarter of the previous year.

Marketing costs were estimated at W56.8bn, similar to the third quarter of last year. Marketing cost execution rate for service sales was 21.5%, an improvement by 0.5 percentage points compared to the same period last year.

In the same period, investment expenditures (CAPEX) executed 611 billion won, up 3.1% YoY.

The smart home business, including high-speed internet and IPTV, achieved sales of W590.5bn, up 3.9% from the third quarter of last year.

High-speed Internet sales amounted to KRW 256.5 billion, up 7.1% year-on-year. The number of subscribers was 491 million, up 4.6% year-on-year.

The IPTV business raised its income of KRW 334 billion, up 1.5% from the same period last year. Subscribers recorded 5.47 million, up 2.7% from last year.

Sales of the company's infrastructure business, including new businesses, IDs, and line businesses for companies, accounted for 374.5 billion won, an increase of 1.5% year-on-year.

The company's sales and IDC business sales increased by 4.8% and 2.8% to W194.5bn and W70bn, respectively. The solution business revenue was estimated at 110 billion won, down 4.8% from the third quarter of last year.