LG second quarter profits rise as smartphone sales nearly triple

LG Electronics has chalked up one of its most successful quarter profits with its smartphone sales recording a marked improvement after moving 14.5 million handsets over the last quarter.

The electronics manufacturer has announced a 165 percent increase in second-quarter net profit compared with the same period last year, reflecting strong earnings from both the TV and mobile operations.

LG reported second-quarter 2014 net profit of USD 399.8 million and operating profit of USD 588.5 million,an increase of 26.5 percent year-over-year. Unaudited second quarter consolidated revenues of USD 14.93 billion increased 7.7 percent from the previous quarter.

The mobile phone sales were 20 percent more than last year and LG Electronics attributed the impressive performance to the uptake of the acclaimed LG G3 and mid-range L series products, with LTE products accounting for more than one-third of all LG smartphones sold this year.

As a result, sales increased 16 percent from the same period last year to USD 3.51 billion, the highest since the first quarter of 2010. The mobile division’s operating profit of USD 83.4 million in the second quarter put an end to three consecutive quarters of losses.

LG plans to continue its global rollout of the G3 and introduce more mass tier products in the second half, including variations of the LG G3, such as the recently announced G3 Beat, and additional L Series models. The G3 is equipped with a 13 megapixel rear-facing camera with dual-LED (dual tone) flash and a 2.1 MP front-facing camera.

The new device can shoot 4K (3,840 x 2,160) videos. The killer camera features of LG G3 include 'Laser Autofocus Sensor' and 'Selfie' Mode. LG claims that the laser autofocus sensor functionality is very quick as it takes only 0.276 seconds to focus.

“The smartest innovation in a fast evolving smartphone market is creating harmony between advanced technology and a simplified user experience,” said Mr Kim.

The successor to the company’s well-received LG G2 is a culmination of consumer research based on LG’s product development philosophy, Learning from You. “It was developed under the theme Simple is the New Smart concept comes with a fingerprint-proof  metallic skin and four times the resolution of HD and almost two times higher resolution than a Full HD display,” said Josep Kim, the LG East Africa Managing Director.   

The LG Home Entertainment Company also saw steady performance with second-quarter revenues ofUSD 4.94 billion, a 3 percent increase quarter-over-quarter and almost unchanged from the same quarter 2013. Operating profit of USD 150 million was an increase of 64.9 percent from the same quarter last year as a result of better product mix.

Nairobi County to engage youth in waste disposal ventures.

Nairobi County will spend part of the Ksh700 million kitty set aside for environmental conservation in the current financial year to sensitize residents on proper waste disposal methods, Governor Dr Evans Kidero has said.

Many residents, Kidero noted, are oblivious to the grave danger posed by improper waste disposal to their health citing the rising incidence of communicable diseases in the county as a cause for concern.

He was speaking at City Stadium during the monthly cleanup exercise which was conducted in various parts of the county. The county government uses the monthly cleanup exercises to mobilise residents to keep the city clean. It takes place every last Saturday of the month.

Residents volunteer for various activities like litter picking, garbage collection, raking, drainage clearance, grass cutting and tree planting.

Dr Kidero urged the youth to explore income-generating projects around waste disposal, adding his government was ready to partner with them to set up such ventures.

He added the county government had committed to fully engage the youth in the county to help redeem the face of the city, once referred to as the ‘Green City in the Sun.’

“I am calling on our youth and the public at large to focus on environmental conservation projects that will not only act as a source of livelihood, but also as the sure way to living and working in a clean and healthy environment,” said Dr Kidero who was accompanied by his deputy, Jonathan Mueke.

This month’s clean up initiative saw many youth participate. Dr Kidero said such noble activities would lure youth away from anti-social behavior such as consumption of illicit brews and drugs.  

Noting that cleanliness of the city was the responsibility of all residents, Mueke said the quest for a healthier environment had to start at the household level. “Environmental awareness and public participation is the best way to sort out the waste issue in our city. It requires the goodwill of both the residents and the county government to ensure that our monthly clean up exercise is a success,” said Mueke.

The county government has embarked on tapping energy from garbage at the Dandora dump site to generate power. “We are devising ways of producing energy from waste while recycling plastics. Organic waste will be used to manufacture fertilizer,” said Dr Kidero.

He continued to reaffirm that henceforth the involvement of the youth and the public at large will be commendable in all the upcoming clean ups.

The governor urged the county residents to be responsible when disposing waste saying Dandora dumpsite is full and plans for an alternative site were at an advanced stage.

This month’s clean up took place in the following areas:

 Within the Kibra Sub-County at Sara Ng’ombe ward.

 In the Makadara sub county, in Harambee Ward including Mutindwa Market.

 The 1st Avenue Eastleigh will be targeted for cleanup in the Kamukunji sub county.

 Within the Langata Sub-County, at Nairobi West shopping centre,

 Githurai area within the Roysambu sub-county.

 In Embakasi West Sub County, the areas cleaned include Kariobangi sub-ward.  

 Mathare Area 1, 2, 3 and Huruma, will be cleaned within the Ruaraka Sub County.

 The focal clean up areas within the Westland sub county were Kaptagat area, Kaptagat road, Kitsuru ward.

 Within Starehe sub-county, the clean-up areas are Dipsy area.

 Within the Embakasi East sub county, the focal areas will be Kayole Soweto Road.

 In Embakasi North, Dandora III ward, opposite Dandora dumpsite.

 In Embakasi South, Pipeline Ward plot number 10.

 Komarock Ward in Embakasi East sub-county

 Within Kasarani, the focal areas will be Sieko Estate

 In Mathare, the area around Juja road.

 Within the Dagoretti North area, at Kawangware ward, chief camp road.

 Within the Central Business District, at the roundabout of City Stadium.

 In Starehe, in Kariokor Ward.

Nairobi County to ease rent and parking payment

Nairobi Governor Evans Kidero (right) chatting with
 Nairobi Dep. Governor Johnathan Mueke.

The Nairobi City County Government has moved to ease payment for services and streamline revenue collection by switching to e-payments for its services such as Matatu seasonal ticketing and rent collection for its estates and market stalls.  

Speaking when the e-payment module went live, Dr. Evans Kidero, the Nairobi City County Governor said e-payment for land rates and Single Business Permit were already operational and had helped ease long queues at City Hall.  

“We have activated this system today and it is accessible to Nairobi residents intending to pay for seasonal parking or rent through their mobile phone handsets, authorized banks and agents, Huduma Centers at Teleposta Towers, City Square Post Office and Makadara County Offices (formerly DC’s office) and from a link on the county’s web portal,” said Dr Kidero. 

Nairobi Governor Evans Kidero getting a demo of how the
ePayment device works.

Jonathan Mueke, the Nairobi City County Deputy Governor revealed that the county was working on the third phase of the e-payment modules that will see automation of daily and seasonal parking payment for individuals.

The e-payment solution and the web portal are part of the County’s Nairobi City County ICT Transformation Program which started in 2013 and is aimed at improving efficiency and accountability in the collection and management of NCC funds.

Matatus and tenants can use any of the new system have an option of using one of several forms of interface with the e-payment solution: online through the web portal (http:// www.nairobi.go.ke); through a USSD option *217# for basic level phones or mobile application for those with smartphones.

CEO JamboPay
Danson Muchemi.

Mr Mueke said the revolutionary platform offers convenience for Nairobi resident in payments of services as well plug in loopholes for rent-seeking.   “One can avoid standing in long queues, wasting precious man-hours and make a payment from virtually anywhere, including from the convenience of their living rooms. Processing time is also much shorter as proof of payment is received almost in real time,” said the Deputy Governor. 

“JamboPay is proud of this partnership that will ease and simply citizen interaction with the County Government. We will continue supporting the County with cutting edge technology and support services. We are targeting to recruit 6000 revenue collection agents in the city to support this service” Said Danson Muchemi, the JamboPay CEO.  

For more information, please contact Beryl Okundi, Director of Communications, Nairobi City County Government on bokundi@nairobi.go.ke

International School of Advertising (ISA) signs MOU with The AdvertisingPractitioners Association (APA)

Yesterday ISA and APA signed an MOU endorsing the institution's courses and certification for bridging the gap graduates and professionals face in the communication industry.

As a result, anyone from an APA affiliated agency will get a discounted fees rate from ISA and be given preference when seeking for a job.

From right, Monty Dhariwal Chairman APA, Lenny Ng'ang'a Vice Chairman APA and Susan Makau ISA Africa Director during the signing of the MOU between ISA and APA.

SRC Commences Study on Public Service Allowances

The Salaries and Remuneration Commission (SRC) has commenced a study on allowances payable by public institutions in Kenya. The study will identify, document, categorise and analyse all allowances payable to officers in the Public Service. The aim of the study is to help streamline the allowances that have contributed to the ballooning of the public wage bill.

The scope of the study, which will be conducted by Deloitte and Touche on behalf of the Commission, includes all remunerative and facilitative allowances payable in the entire public service to both State Officers and other Public Officers, and will span both National and County governments.

The study will also give a clear baseline on allowances across public institutions.

The Public Service allowances are an integral contributor to overall remuneration and benefits of Public and State officers, but the present situation is that these vary across different public institutions.

A research commissioned by the SRC and carried out by the Kenya Institute of Public Policy Research and Analysis (KIPPRA) to look into the public private sector wage differentials show that allowances paid to civil servants have made the government the preferred employer. Currently, allowances have the effect of doubling employee’s pay and in some instances growing it by a factor of 10. 

The Commission’s recommendations on harmonisation of allowances will be informed by the evidence-based study, and not drawn from theoretical assumptions, underscoring the importance of this study to the greater process within the mandate of the Commission.

Information to be gathered by the study will include types of allowances payable to state and public officers, the eligibility criteria and the purpose for which the allowances are paid, the rate, frequency and mode of payment for each allowance and the aggregate cost of all remunerative and facilitative allowances payable to officers in the public service.

The Commission has written to key public institutions formally informing them of the study and requesting their support in carrying out this exercise whose results are expected to be out by end of first quarter of the financial year 2014/15.

LG moves to enhance kids' safety with KizON

LG Electronics has designed a wearable wristband, dubbed KizON, which helps parents keep track of their children whereabouts through GPS and Wi-Fi. The wearable device designed exclusively for pre-school and primary school children provides real-time location information allowing parents to monitor their children on a compatible smartphone.  

With One Step Direct Call, parents can communicate with their children as well as providing them with information on the location of their children throughout the day. Parents aren’t the only ones who can use KizON to communicate with a loved one. With one press of the One Step Direct Call button, children can also dial a pre-configured phone number, which can be changed at any time through a smartphone running Android 4.1 or higher.

If the child fails to answer a call from any of the pre-configured numbers within ten seconds, KizON will automatically connect the call to let the parents listen through the built-in microphone. Another important function of KizON is Location Reminder, which gives adults the ability to pre-set the device to provide location alerts at specific times throughout the day.

Battery life is rated for 36 hours and parents will be alerted via their smartphones when the battery in KizON needs to be recharged. The band is constructed of eco-friendly polythiourethane (PTU) material that is water-resistant as well as stain resistant. A wide range of accessories featuring popular animation characters will be available for KizON, which comes in three attractive colors: blue, pink and green.

Josep Kim, LG East Africa Managing Director said LG is increasingly designing wearable gadgets ideal for both the elderly and the young ones. He said “wearables allow us to stay connected without the worry of losing a device or the inconvenience of having to carry a large item in a pocket. At LG, we’re committed to exploring more ways to incorporate wearable devices into consumers’ lives in line with our vision to become a leader in wearables.”

KizON made its public debut in South Korea this month and is expected to be introduced in other markets in the fourth quarter. Details of availability and price will be announced locally.