[Click eStock] "LG Uplus Highlights Operating Profit Growth... Expected 25% Increase YoY"

[Asia Economy Reporter Oh Ju-yeon] NH Investment & Securities forecasted that LG Uplus's consolidated operating profit for this year will reach 858.3 billion KRW, a 25.1% increase compared to the previous year. They explained that, compared to competitors, LG Uplus has fewer consolidated subsidiaries, resulting in a higher proportion of the parent company's telecommunications performance, and the rise in wireless revenue due to the increase in 5G subscribers is most significantly reflected. They predicted that LG Uplus will show the largest profit growth among the three major telecom companies.

According to NH Investment & Securities on the 17th, LG Uplus's operating profit for the second quarter of this year is estimated to be 217.2 billion KRW, exceeding the market consensus of 207.5 billion KRW.

Researcher Ahn Jae-min analyzed, "Wireless business revenue is 1.44 trillion KRW, showing growth due to the increase in 5G subscribers and the number of Machine-to-Machine (M2M) lines, and marketing expenses have stabilized at 573.9 billion KRW, driving overall operating profit growth."

However, the average revenue per user (ARPU) per wireless subscriber is 30,925 KRW, showing a decline compared to the same period last year due to the increase in low-ARPU M2M lines, but it is expected to gradually recover in the second half of the year.

Researcher Ahn stated, "LG HelloVision, consolidated from the first quarter, is expected to record sales of 262.3 billion KRW and operating profit of 7.8 billion KRW. Product restructuring, utilization of LG Uplus's sales network, use of wired networks, and synergy from bundled products will begin to appear in earnest from the second half of the year," while maintaining a 'Buy' investment rating and a target price of 18,000 KRW.

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