LG HelloVision Turns Operating Profit Negative... Number of Budget Phone Subscribers Falls Below 700,000

[Asia Economy Reporter Koo Chae-eun] LG HelloVision, acquired by LG Uplus at the end of last year, recorded an operating loss. The number of MVNO (Mobile Virtual Network Operator) subscribers also fell below 700,000.

On the 7th, LG HelloVision (CEO Song Gu-young) announced that its consolidated sales for last year amounted to 1.1122 trillion KRW, with an operating profit of 20.6 billion KRW. Sales decreased by 5.6% and operating profit dropped by 69.7% compared to the previous year. For the fourth quarter, sales were 277.8 billion KRW, and operating profit was -6 billion KRW, recording a loss. Sales decreased by 8.2% compared to the same period last year.

The number of cable TV subscribers decreased by 27,000 from the third quarter to 4.157 million, and the number of MVNO subscribers dropped by 36,000 to 698,000. The average revenue per user (ARPU) by service was 7,322 KRW for cable TV, down 0.42% from the previous quarter. The ARPU for MVNO also declined by 0.84% to 22,715 KRW.

Ahn Jae-yong, LG HelloVision Chief Financial Officer (CFO, Executive Director), said, "Sales and profits declined due to subscriber decreases caused by business stagnation during the acquisition process," adding, "This year will be a year of new growth by strengthening the fundamental competitiveness of the business to reverse the financial performance of cable broadcasting and MVNO, enhancing new businesses such as rentals, and maximizing synergy with LG Uplus."

This content was produced with the assistance of AI translation services.