Home > Investor Relation > IR News
Total 114 lines. 2006. 10. 25
LG International,2006 3Q Operating Profit: ₩30.6bn

■ Summary of 2006 3Q performance overall
◦ Sales declined 11.5% YoY as the company reduced low-margin businesses in energy division.
◦ Operating profit increased 3.4% YoY thanks to favorable earnings of metal∙coal and plant business.
◦ Despite the operating income growth, recurring profit slid 27.7% YoY due to decrease of equity method gains.
◦ Net income down 31.2% to \20.5bn YoY.

 

■ Trade side
◦ Trade side is changing itself into a global company specialized in natural resource & raw material business.
◦ Following the oil finding in Kazakhstan ADA last July, the company is accelerating its resource development(E&P) in Kazakhstan(Block 8, Egizkara, Zhambyl) and southeast Asia(East-Timor JPDA 102) as well as a petrochemical plant project in Oman(Oman PP)
◦ Based on the sound and stable financial structure and business portfolio, the trade side will continuously reinforce its E&P and raw material business. These efforts will secure long-term growth fundamental for the company even after the spin-off of the fashion division.

 

■ Fashion side
◦ Fashion side consistently shows solid growth of sales driven by investments in distribution channel and new brand launch along with aggressive marketing activities.
◦ The fashion side will maintain its top position as a leading company of fashion & apparel industry in Korea.

 

■ Spin-off
◦ LG International held EGM(Extraordinary general shareholders meeting) on September 28 and made final decision for the spin-off of fashion division( Effective date: November 1, 2006).
◦ By specializing and reinforcing core competence of each business side, the corporate value is expected to be enhanced considerably.
◦ To every one share of the existing shareholders, 0.57 share of LG International?s common stock and 0.43 share of LG Fashion?s will be distributed.
◦ Trade suspension is from October 30 to November 30, and the two companies (LG International and LG Fashion) will be re-listed on December 1.

LG International,2006 4Q Operating Profit: ₩27.6bn

LGI launches the exploration of the Egizkara block in Kazakhstan