Changes
__TOC__
----
===Key Information===
{|border="2" cellspacing="0" cellpadding="4" width="100%"
|bgcolor = "#376091" colspan = "2"|<font color="#FFFFFF">'''LG Electronics Ltd.(LGE)'''</font>
|-
|rowspan = "3"|'''Revenues'''
|2010: $48.27B
|-
|2009: $43.52B
|-
|2008: $44.84B
|-
|bgcolor = "#C5D9F1"|'''Revenue CAGR (2008 - 2010)'''
|bgcolor = "#C5D9F1"|3.8%
|-
|'''Net profit (2010)'''
|$1.14B
|-
|bgcolor = "#C5D9F1"|'''Net profit CAGR (2008 - 2010)'''
|bgcolor = "#C5D9F1"|67.2%
|-
|rowspan = "3"|'''R&D expenses (Percentage of Revenue)'''
|2010:$1397.35M (2.37%)
|-
|2009:$1182.33M (2.29%)
|-
|2008: $424.07M (0.82%)
|-
|bgcolor = "#C5D9F1"|'''Number of employees'''
|bgcolor = "#C5D9F1"|82,772
|-
|'''Year Established'''
|1958
|-
|bgcolor = "#C5D9F1"|'''Headquarters'''
|bgcolor = "#C5D9F1"|Seoul, South Korea
|-
|'''Key People'''
|Koo Bon-joon (CEO)
|-
|bgcolor = "#C5D9F1"|'''Principal areas of business'''
|bgcolor = "#C5D9F1"|Consumer Products Manufacturers: Consumer Electronics, Audio Equipment, Video Equipment, Appliances, Telecommunications Equipment
|-
|'''Segmental breakdown based on turnover (2010)'''
|Home Entertainment 20.48%<br>Mobile Communications 12.84%<br>Home App 9.90%<br>Air Conditioning 4.47%<br>Business Solution 4.48%
|-
|bgcolor = "#C5D9F1"|'''Geographical breakdown based on turnover(2010)'''
|bgcolor = "#C5D9F1"|Europe (17%)<br>North America (22%)<br>South America (13%)<br>Korea (15%)<br>P R China (8%)<br>Asia (20%)<br>ROW (5%)
|-
|'''Main Subsidiaries (2010)'''
|LG Display (37.9%)<br>LG Innotek (50.60%)
|-
|bgcolor = "#C5D9F1" rowspan = "2"|'''Recent Acquisition Summary'''
|bgcolor = "#C5D9F1"|<nowiki>-</nowiki> Acquired Air-conditioning Division of LS Mtron for KRW 150 billion on 10th March 2011
|-
|bgcolor = "#C5D9F1"|<nowiki>-</nowiki> Acquired Rental Business of Healthcare Rental Co. Ltd.
|-
|'''Recent License Deals Summary'''
|<nowiki>-</nowiki> Rovi and LG Electronics signed a licensing deal on 22nd June 2011 to further integrate DivX Technology in LGs consumer electronics products
|-
|}
==Overview==
===Vision===
LG Electronics continues to pursue its 21<sup>st</sup> century vision of becoming a worldwide leader in digital—ensuring customer satisfaction through innovative products and superior service while aiming to rank among the world<nowiki>’</nowiki>s top three electronics, information, and telecommunications firms by 2010.
===Years in Business===
53 Years
===Industry Type===
Consumer Products Manufacturers
• Consumer Electronics
• Audio Equipment
• Video Equipment
• Appliances
• Telecommunications Equipment
===Stock Exchanges listed in with their codes===
Primary Symbol & Exchange:066570 - Ordinary Shares – Korea
Other Symbol & Exchange: LGLD - GDR - London
===Contact===
20, Youido-dong, Yongdungpo-gu<br>Seoul 150-721<br>South Korea
'''Phone '''<nowiki>+</nowiki>82-2-3777-1114
'''Fax '''<nowiki>+</nowiki>82-2-3777-3428
URL: [http://www.lg.co.kr/ http://www.lg.co.kr]; http://www.lge.co.kr
===Major Subsidiaries===
{|border="2" cellspacing="0" cellpadding="4" width="80%" align="center"
|bgcolor = "#4F81BD"|<font color="#FFFFFF">'''Sr. No'''</font>
|bgcolor = "#4F81BD"|<font color="#FFFFFF">SUBSIDIARIES AND AFFILIATED COMPANIES</font>
|bgcolor = "#4F81BD"|<font color="#FFFFFF">Stake</font>
|-
|align = "right" bgcolor = "#DBE5F1"|1
|bgcolor = "#DBE5F1"|LG Display
|align = "center" bgcolor = "#DBE5F1"|38%
|-
|align = "right"|2
|LG INNOTEK
|align = "center"|48%
|-
|align = "right" bgcolor = "#DBE5F1"|3
|bgcolor = "#DBE5F1"|Hi Plaza
|align = "center" bgcolor = "#DBE5F1"|100%
|-
|align = "right"|4
|Hi Business Logitics
|align = "center"|100%
|-
|align = "right" bgcolor = "#DBE5F1"|5
|bgcolor = "#DBE5F1"|LG Ericsson
|align = "center" bgcolor = "#DBE5F1"|50%
|-
|align = "right"|6
|Hi M Solutek
|align = "center"|100%
|-
|align = "right" bgcolor = "#DBE5F1"|7
|bgcolor = "#DBE5F1"|Hi Tele Service
|align = "center" bgcolor = "#DBE5F1"|100%
|-
|align = "right"|8
|LG Public Small Business Cooperation Fund
|align = "center"|50%
|-
|align = "right" bgcolor = "#DBE5F1"|9
|bgcolor = "#DBE5F1"|Innovation Investment Fund
|align = "center" bgcolor = "#DBE5F1"|83%
|-
|align = "right"|10
|K-TV Tech Investment Fund
|align = "center"|100%
|-
|-
|}
'''[[ List of all subsidiaries (77)]]'''
==Company Financials==
===Revenue Trends - 2006 to 2010===
[[image:revenue_trend11.jpeg|centre]]
===Profit Trends - 2006 to 2010===
[[image:profit_trend_LG.jpeg|centre]]
===Geographical Analysis===
[[image:lg_geography.jpeg|centre]]
===Shareholding Pattern===
{|border="2" cellspacing="0" cellpadding="4" width="50%" align="center"
|bgcolor = "#4F81BD"|<font color="#FFFFFF">'''Major Shareholders'''</font>
|bgcolor = "#4F81BD"|<font color="#FFFFFF">'''Stake'''</font>
|-
|bgcolor = "#DBE5F1"|LG Corp.
|align = "right" bgcolor = "#DBE5F1"|34.80%
|-
|National Pension Service
|align = "right"|5.04%
|-
|}
==Major Segments of LG Electronics==
Typical Products of LG Electronics can be classified in following categories
[[image:LG_segments.jpeg|centre]]
Revenue Breakdown among Various Categories based on 2010 Sales
[[image:LG_revenue_segment.jpeg|centre]]
==Stock Performance of LG Electronics in 2010==
===Stock Price:===
• Share Price (20-May-10): 101,000
• 52-Week High (02-Sep-09): 148,500
• 52-Week Low (20-May-10): 101,000
• Currency: KRW
===Dividend Information:===
• Dividend: 1,750 KRW
• Pay Date: April 16, 2010
• Ex-Dividend Date: December 29, 2009
==SWOT Analysis of LG Electronics==
[[Image:LGE.jpg |centre]]
==Porter's 5 Forces analysis- Display Industry==
[[Image:Porter1.png|center|frame]]
==Analysis of display business==
LG Display accounted for approximately 30% of LGE's revenues in 2010. Display business is capital-intensive, competitive and cyclical.
[[Image:diaplay mkt breakup.jpg|centre]]
===LCD display market in 2010===
[[image:Segmentation.png|centre|700px]]
===Large Area TFT market===
{|
|[[image:La_tft_detail_1.png|left|550px|thumb| Sources: [http://www.displaybank.com/ Displaybank],[http://www.displaysearch.com/ Displaysearch]]]
|[[image:La_tft_detail_2.png|right|550px|thumb| Sources: [http://www.displaybank.com/ Displaybank],[http://www.displaysearch.com/ Displaysearch]]]
|-
|}
Year on year there was an increase in shipments for all the products of large area TFT LCD. In total the revenue grew by 25% in 2010 up from 20% in 2009. After recession and a laggard growth of 11.5% in 2008, the market has picked up and the revenue is growing.
* Market revenue overall is growing, but the most promising product and market that uses this technology is Television. With a growth of 42.9% in 2010 up from 32.4% in 2009, the market looks profitable.
* Notebook PC market also looks profitable, with a growth rate of 31.7%, but a decline from the previous year from 36.6%. The OLED technology is eating up the market share of the TFT LCD market share in this market.
----
===Key Information===
{|border="2" cellspacing="0" cellpadding="4" width="100%"
|bgcolor = "#376091" colspan = "2"|<font color="#FFFFFF">'''LG Electronics Ltd.(LGE)'''</font>
|-
|rowspan = "3"|'''Revenues'''
|2010: $48.27B
|-
|2009: $43.52B
|-
|2008: $44.84B
|-
|bgcolor = "#C5D9F1"|'''Revenue CAGR (2008 - 2010)'''
|bgcolor = "#C5D9F1"|3.8%
|-
|'''Net profit (2010)'''
|$1.14B
|-
|bgcolor = "#C5D9F1"|'''Net profit CAGR (2008 - 2010)'''
|bgcolor = "#C5D9F1"|67.2%
|-
|rowspan = "3"|'''R&D expenses (Percentage of Revenue)'''
|2010:$1397.35M (2.37%)
|-
|2009:$1182.33M (2.29%)
|-
|2008: $424.07M (0.82%)
|-
|bgcolor = "#C5D9F1"|'''Number of employees'''
|bgcolor = "#C5D9F1"|82,772
|-
|'''Year Established'''
|1958
|-
|bgcolor = "#C5D9F1"|'''Headquarters'''
|bgcolor = "#C5D9F1"|Seoul, South Korea
|-
|'''Key People'''
|Koo Bon-joon (CEO)
|-
|bgcolor = "#C5D9F1"|'''Principal areas of business'''
|bgcolor = "#C5D9F1"|Consumer Products Manufacturers: Consumer Electronics, Audio Equipment, Video Equipment, Appliances, Telecommunications Equipment
|-
|'''Segmental breakdown based on turnover (2010)'''
|Home Entertainment 20.48%<br>Mobile Communications 12.84%<br>Home App 9.90%<br>Air Conditioning 4.47%<br>Business Solution 4.48%
|-
|bgcolor = "#C5D9F1"|'''Geographical breakdown based on turnover(2010)'''
|bgcolor = "#C5D9F1"|Europe (17%)<br>North America (22%)<br>South America (13%)<br>Korea (15%)<br>P R China (8%)<br>Asia (20%)<br>ROW (5%)
|-
|'''Main Subsidiaries (2010)'''
|LG Display (37.9%)<br>LG Innotek (50.60%)
|-
|bgcolor = "#C5D9F1" rowspan = "2"|'''Recent Acquisition Summary'''
|bgcolor = "#C5D9F1"|<nowiki>-</nowiki> Acquired Air-conditioning Division of LS Mtron for KRW 150 billion on 10th March 2011
|-
|bgcolor = "#C5D9F1"|<nowiki>-</nowiki> Acquired Rental Business of Healthcare Rental Co. Ltd.
|-
|'''Recent License Deals Summary'''
|<nowiki>-</nowiki> Rovi and LG Electronics signed a licensing deal on 22nd June 2011 to further integrate DivX Technology in LGs consumer electronics products
|-
|}
==Overview==
===Vision===
LG Electronics continues to pursue its 21<sup>st</sup> century vision of becoming a worldwide leader in digital—ensuring customer satisfaction through innovative products and superior service while aiming to rank among the world<nowiki>’</nowiki>s top three electronics, information, and telecommunications firms by 2010.
===Years in Business===
53 Years
===Industry Type===
Consumer Products Manufacturers
• Consumer Electronics
• Audio Equipment
• Video Equipment
• Appliances
• Telecommunications Equipment
===Stock Exchanges listed in with their codes===
Primary Symbol & Exchange:066570 - Ordinary Shares – Korea
Other Symbol & Exchange: LGLD - GDR - London
===Contact===
20, Youido-dong, Yongdungpo-gu<br>Seoul 150-721<br>South Korea
'''Phone '''<nowiki>+</nowiki>82-2-3777-1114
'''Fax '''<nowiki>+</nowiki>82-2-3777-3428
URL: [http://www.lg.co.kr/ http://www.lg.co.kr]; http://www.lge.co.kr
===Major Subsidiaries===
{|border="2" cellspacing="0" cellpadding="4" width="80%" align="center"
|bgcolor = "#4F81BD"|<font color="#FFFFFF">'''Sr. No'''</font>
|bgcolor = "#4F81BD"|<font color="#FFFFFF">SUBSIDIARIES AND AFFILIATED COMPANIES</font>
|bgcolor = "#4F81BD"|<font color="#FFFFFF">Stake</font>
|-
|align = "right" bgcolor = "#DBE5F1"|1
|bgcolor = "#DBE5F1"|LG Display
|align = "center" bgcolor = "#DBE5F1"|38%
|-
|align = "right"|2
|LG INNOTEK
|align = "center"|48%
|-
|align = "right" bgcolor = "#DBE5F1"|3
|bgcolor = "#DBE5F1"|Hi Plaza
|align = "center" bgcolor = "#DBE5F1"|100%
|-
|align = "right"|4
|Hi Business Logitics
|align = "center"|100%
|-
|align = "right" bgcolor = "#DBE5F1"|5
|bgcolor = "#DBE5F1"|LG Ericsson
|align = "center" bgcolor = "#DBE5F1"|50%
|-
|align = "right"|6
|Hi M Solutek
|align = "center"|100%
|-
|align = "right" bgcolor = "#DBE5F1"|7
|bgcolor = "#DBE5F1"|Hi Tele Service
|align = "center" bgcolor = "#DBE5F1"|100%
|-
|align = "right"|8
|LG Public Small Business Cooperation Fund
|align = "center"|50%
|-
|align = "right" bgcolor = "#DBE5F1"|9
|bgcolor = "#DBE5F1"|Innovation Investment Fund
|align = "center" bgcolor = "#DBE5F1"|83%
|-
|align = "right"|10
|K-TV Tech Investment Fund
|align = "center"|100%
|-
|-
|}
'''[[ List of all subsidiaries (77)]]'''
==Company Financials==
===Revenue Trends - 2006 to 2010===
[[image:revenue_trend11.jpeg|centre]]
===Profit Trends - 2006 to 2010===
[[image:profit_trend_LG.jpeg|centre]]
===Geographical Analysis===
[[image:lg_geography.jpeg|centre]]
===Shareholding Pattern===
{|border="2" cellspacing="0" cellpadding="4" width="50%" align="center"
|bgcolor = "#4F81BD"|<font color="#FFFFFF">'''Major Shareholders'''</font>
|bgcolor = "#4F81BD"|<font color="#FFFFFF">'''Stake'''</font>
|-
|bgcolor = "#DBE5F1"|LG Corp.
|align = "right" bgcolor = "#DBE5F1"|34.80%
|-
|National Pension Service
|align = "right"|5.04%
|-
|}
==Major Segments of LG Electronics==
Typical Products of LG Electronics can be classified in following categories
[[image:LG_segments.jpeg|centre]]
Revenue Breakdown among Various Categories based on 2010 Sales
[[image:LG_revenue_segment.jpeg|centre]]
==Stock Performance of LG Electronics in 2010==
===Stock Price:===
• Share Price (20-May-10): 101,000
• 52-Week High (02-Sep-09): 148,500
• 52-Week Low (20-May-10): 101,000
• Currency: KRW
===Dividend Information:===
• Dividend: 1,750 KRW
• Pay Date: April 16, 2010
• Ex-Dividend Date: December 29, 2009
==SWOT Analysis of LG Electronics==
[[Image:LGE.jpg |centre]]
==Porter's 5 Forces analysis- Display Industry==
[[Image:Porter1.png|center|frame]]
==Analysis of display business==
LG Display accounted for approximately 30% of LGE's revenues in 2010. Display business is capital-intensive, competitive and cyclical.
[[Image:diaplay mkt breakup.jpg|centre]]
===LCD display market in 2010===
[[image:Segmentation.png|centre|700px]]
===Large Area TFT market===
{|
|[[image:La_tft_detail_1.png|left|550px|thumb| Sources: [http://www.displaybank.com/ Displaybank],[http://www.displaysearch.com/ Displaysearch]]]
|[[image:La_tft_detail_2.png|right|550px|thumb| Sources: [http://www.displaybank.com/ Displaybank],[http://www.displaysearch.com/ Displaysearch]]]
|-
|}
Year on year there was an increase in shipments for all the products of large area TFT LCD. In total the revenue grew by 25% in 2010 up from 20% in 2009. After recession and a laggard growth of 11.5% in 2008, the market has picked up and the revenue is growing.
* Market revenue overall is growing, but the most promising product and market that uses this technology is Television. With a growth of 42.9% in 2010 up from 32.4% in 2009, the market looks profitable.
* Notebook PC market also looks profitable, with a growth rate of 31.7%, but a decline from the previous year from 36.6%. The OLED technology is eating up the market share of the TFT LCD market share in this market.
