Record smartphone shipments boost LG Electronics quarterly earnings

LG Electronics (LG) announced unaudited third quarter consolidated revenues of USD 14.54 billion, an increase of 7.4 percent year-over-year, and operating profit of USD 449.61 million, more than double the figure from the same period a year ago. LG’s earnings reflected strong performance from its mobile business which saw record smartphone sales in the third quarter with sales of 16.8 million units.

The LG Home Entertainment Company reported third-quarter revenues of USD 4.59 billion, a slight decline of 3 percent from the same period last year. Operating profit of USD 127.19 million increased 5 percent from the same quarter last year due to better product mix. Sales of LCD TVs increased year-over-year in regions such as North America, Europe, Asia and the Middle East. LG expects sales of 4K Ultra HD TVs and commercial digital signage products to grow, while market demand for monitors and AV products is expected to slow.

The LG Mobile Communications Company shipped a record-breaking 16.8 million smartphones in the third quarter, an increase of 39 percent year-on-year and 16 percent more units than the previous quarter. Sales of USD 4.14 billion and operating income of USD 163.16 million were the highest in the company’s history since the third quarter of 2009. Building on its momentum and two consecutive profitable quarters, LG expects to strengthen its positioning in the smartphone market with its G Series and L Series^III models despite the landscape becoming more competitive.

The LG Home Appliance Company reported revenues of USD 2.84 billion, a slight decrease from the same period the year before, despite improved sales in Korea, Europe and developing markets such as the Middle East and South East Asia. Greater competition in North America and unfavorable foreign currency exchange rates resulted in a lower third-quarter operating profit of USD 50.49 million. LG expects profitability to increase in the fourth quarter with an expanded home appliance product portfolio and improved cost structure.

The LG Air Conditioning & Energy Solution Company reported revenues of USD 902.14 million, a 5 percent decline from a year ago. An operating loss of USD 2.44 million was primarily due to weak demand in residential air conditioners in Korea related to weather conditions, which offset steady growth in the Middle East and Latin America. LG expects overseas sales to improve with more customized and higher energy efficient systems while it targets the growing construction and civilian industries in Korea with its commercial products.

LG unveils F60B stylish LTE Smartphone

October 9, 2014: Looking to further expand its 4G LTE footprint in mobiles, LG Electronics has unveiled the LG F60, a stylish new smartphone that offers superior Quad-Core speed to run all of today's hottest apps and LG's premium UX features in a package designed for a global audience upgrading to 4G LTE.

The F60 will first be rolled out Europe, followed by Asia, and the Americas. The LG F60 takes connectivity to a new level with blazing-fast 4G LTE powered by a 1.2GHz Quad-Core processor running on the Android 4.4 KitKat operating system.

Housed in a slim and sleek compact body, the F60 features a crisp 4.5-inch IPS display and a 2,100mAh battery for the perfect balance of performance, weight and size for hours of entertainment and productivity.

The F60 comes fully loaded with LG's proprietary UX features adopted heavily from the acclaimed LG G3:

§  Gesture Shot allows users to take easy selfies by simply opening and closing their hand in front of the lens to start a three-second countdown before the shutter is triggered.

§  Front Camera Light adds additional illumination to one's face by displaying a bright white light around the preview screen in self-portrait mode.

§  Touch & Shoot lets users capture those special moments quickly and intuitively with a simple tap anywhere on the display to focus and shoot in one single step.

§  Knock CodeTM unlocks the F60 in one easy step with a personalized 'knock' pattern for both convenience and security.

'LG continues to demonstrate its advanced 4G LTE knowledge by bringing to global consumers better and better mobile devices that take full advantage of today's most advanced wireless infrastructure,' said Dr. Jong-seok Park, president and CEO of the LG Electronics Mobile Communications Company. 'The LG F60 offers a premium user experience for young and old users alike who are looking for the fastest mobile experience possible at a reasonable price.'

The F60 will be available in both single and dual SIM versions, perfect for business users. Additional details including retail locations and price will be announced in local markets at the time of availability.

Key Specifications:

• Chipset: 1.2GHz Qualcomm Quad-Core
• Display: 4.5-inch WVGA (207ppi)
• Memory: 1GB RAM / 4GB, 8GB
• Camera: Rear 5MP / Front 1.3MP
• Battery: 2,100mAh
• Operating System: Android 4.4.2 KitKat
• Size: 127.5 x 67.9 x 10.6mm
• Network:  4G LTE
• Connectivity: Bluetooth 4.0 / Wi-Fi / A-GPS
• Colors: Black / White (varies by market

IS YOUR PRICEY SMARTPHONE SAFE?

Mobile phones being snatched from car windows in traffic jams in Nairobi has unfortunately become a norm rather than exception. Many Matatu passengers have equally lost their pricey gadgets to pickpockets and street urchin during peak hours when their minds are preoccupied with either to work early or going home to their families in the evening.  

According to Kenya Orient, the insurance company that pioneered mobile phone insurance in Kenya, one should consider an insurance cover for their phone or tablet if they can’t afford to replace or downgrade to a cheaper option in case of theft or damage.

“If you depend on your cell phone and you know you would need a prompt replacement in case of damage or theft, then Orient Mobile is an insurance cover definitely worth considering” says Muema Muindi from Kenya Orient Insurance.   

Losing or damaging your cell phone can be a nightmare because of the resultant loss of data, photos and contacts. However, there are various ways of protecting your handset, tablet and data. “If you have a house teeming with little ones, you never know when those innocent lads decide crack open the gadget and free Talking Tom,” says Mr. Muindi 

Besides insuring your handset, Mr. Muindi says, it is critical to back up your data either on the web or to the computer.  Irrespective of how expensive your gadget is, the information stockpiled in the device, phone book, photos, videos apps, games, messages, is mega-valuable.

It is thus the assumption of an insurer that you have taken requisite precautions to keep your device secure. Kenya Orient stipulates that theft claims MUST be reported to the police within 48 hours of the theft. If the loss occurs when you are outside Kenya, the insurance policy holder should report the incident to the police in the respective country within 48 hours and get a written report of the same.

“We cover accidental damage e.g. damage caused by dropping the phone/ tablet, malicious damage i.e. vandalism and liquid damage,” says Mr. Muindi.

He explains that unlike other insurance products, mobile phone cover doesn't depend on one’s gender, job, what you earn or other standard risks and registering a Claim online is easy and takes only a couple of minutes. “All you need is the ID that you used to register for your Kenya Orient  Policy. We however only insure selected models and only mobile phones that can access the internet”.

Kenya Orient is a leading general insurance company registered in Kenya and relies on more than three decades of experience to operationalize new innovative products. We have 13 branches, a staff base of over 140 people.  The insurer is renowned for developing innovative insurance products such as orient mobile, excess free motor pack, Safaribima and they are definitely the insurer to watch for more revolutionary products.

To find our more visit www.korient.co.ke or their facebook page www.facebook.com/kenyaorientinsurance

Syngenta and Enactus Kenya announces the 35 finalists for the Agribusiness and Communication Competition in Africa.

A total of 35 youth drawn from five African countries have been shortlisted in the on-going youth competition dubbed Agribiz4Africa.

Over 800 participants submitted business ideas via the online platform agribiz4Africa. The 35 finalists are from Nigeria, Rwanda, Cameroon, Benin, Ghana and Kenya.

The ideas were judged by agribusiness academia from Kenya and Nigeria and the top 25 selected contestants received a USD 1000 grant to test their idea and develop a concrete business plans.

Similarly, 32 legible video clips were judged by a Communication expert from Daystar University and leading TV producers from KTN, NTV and CITIZEN. The Top 10 video contestants were assigned a lead Media expert to mentor them on professional video production.

The 35 are expected to arrive in Nairobi, Kenya, on 26th of August, 2014, for a two-day training boot-camp. Thereafter, a judging panel will select the top three from the two categories-Agribusiness Idea and Agribusiness Messaging- who will travel to Addis Ababa for the award ceremony

Speaking in Nairobi, Syngenta head of Corporate Affairs for Africa and Middle East, said the competition main objective was to promote new business opportunities in crop value chains in Africa.

Shikwati James the Enactus Kenya Country Director

“Syngenta’s mission is to raise awareness of opportunities in agriculture; identify wealth creation activities among communities in Africa and make agriculture “cool” for the youth,” said Kinyua Kinyua M’Mbijjewe, Head of Corporate Affairs, Africa Middle East

The competition was carried through an online platform www.agribiz4africa.com and youth aged between 18-30 years from Sub Saharan Africa were invited to submit a500 word business ideas essay that was be judged by leading agribusiness academia from East and West Africa.

James Shikwati, the Enactus Kenya, Country Director, noted that youth from Sub Saharan Africa had been challenged to identify a bottle neck or problem that makes a particular crop’s value chain ineffective and/or inefficient. They were then required to propose a practical idea/solution that has the potential to make a step-change improvement in the chosen value chain.

The top 3 contestants from each category during the Semi-final competition on August 29, 2014 will proceed for the Finals in Addis Ababa (Ethiopia) during the African Green Revolution Forum 2014 at the African Union Headquarters.

Kinyua Mbijjewe the Head of Corporate Affairs Sygenta

The overall winner of the business idea competition will get a USD 10,000 cash prize while the overall winner of the Video production competition will get a USD 5, 000 cash prize.

The Africa Agribusiness Competition is organized by Syngenta and Enactus Kenya. It targets youth aged 18 – 30 years. Its objectives are to promote new business opportunities in crop value chains in Africa; raise awareness of opportunities in agriculture; identify wealth creation activities among communities in Africa and make agriculture “cool” for the youth.

About LAPPSET

The LAPSSET Corridor Project is the first single Gigantic, Integrated, Transformative and Game-Changer infrastructure Project the Government has initiated and prepared under Vision 2030 Strategy Framework without external assistance. The project endeavors to deliver a Just and Prosperous middle income Kenya by the year 2030.

Kenya is spearheading the development of Lamu Port-South Sudan-Ethiopia-Transport (LAPSSET) Corridor Project to strengthen her position as a gateway and a transport and logistics hub to the East African sub-region and the Great Lakes region to facilitate trade, promote regional economic integration and interconnectivity between African countries.

The LAPSSET Corridor Development Authority (LCDA) was established through the Presidential Order Kenya Gazette Supplement No. 51, Legal Notice No. 58, The LAPSSET Corridor Development Authority Order 2013 to plan, coordinate and manage the implementation of the Lamu Port-South Sudan-Ethiopia Transport Corridor Project. The Authority is domiciled in The Presidency in accordance with the Constitution of Kenya 2010.

LAPSSET implementation, firmly on course assures LAPSSET Chairman

The LAPSSET Corridor Development Authority (LCDA) Board Chairman, Amb. Dr. Francis K. Muthaura, has confirmed that plans to ensure the attainment of the LAPPSET Corridor are firmly on course.

Buoyed by recent Lamu Port construction developments, Amb. Dr. Muthaura has expressed optimism that the transformative and game- changing Vision 2030 flagship project will be attained within scheduled time.

Speaking during a media briefing session on the official contract signing of the first 3 berths of the Lamu Port Project, Amb. Dr. Muthaura said it is a timely step by the government to create a platform for the engagement of the private sector in the LAPSSET construction through Public-Private Partnerships.

“Today is indicative of the government’s commitment to the opening up of vast parts of our country and also presents a realistic and solid opportunity for the delivery of the LAPSSET projects while conferring the country a lifeline for economic growth support,” he said.
While assuring of the LAPSSET implementation progress, Amb. Dr. Muthaura said initial project disbursements have been funded and that work will commence next month through M/s China Communication Construction Company and Supervision Consultants Yashoon Engineering, the contactors of the 3 berths. 

It is estimated that the 3 Berths of the Lamu Port will end in 2019, hastening the construction of the other Twenty Nine (29) berths.
And added: “As envisioned under the Vision 2030 Enablers and Macro pillar, the commencement of the construction of the first 3 berths of Lamu Port Project will facilitate the delivery of materials for the construction of the first three berths; the crude oil pipeline, the coal plant in Lamu and Lamu-Garissa-Isiolo Road among other projects.”

Such progress, the LCDA Board Chairman noted is geared at positioning the country as the transport and logistics hub in the region while integrating unexploited parts of the country which has relied on the Northern Corridor to sustain itself through revenue generation.
Within the last three years, the LAPSSET Corridor Development has successfully managed to co-ordinate the rollout of key facilities at the Lamu Port including building the Lamu Port, Lamu Port Police and survey for the Port area.

“As the Chairman of the Board for LAPSSET corridor development authority, am glad to note much progress has been made in the various components. We are 98 per cent complete with key LAPPSET activities and fulfilled the conditions preceding the LAPSSET implementation including allocation of funds for compensating the local communities whose lands have been taken by the port project site,” said Amb. Dr. Muthaura. 

He hailed the LAPSSET Corridor projects as being positioned to bring economic benefits in less than ten years to both the country and the region, equivalent to those experienced since independence.
“While the LAPSSET Corridor Program requires substantial amounts of resources, feasibility studies done show great economic viability with most of the project components registering High Economic Interest Rates of Return of between 17 per cent and 23.4 per cent compared to acceptable industry minimum standard of 10 per cent for infrastructure projects,” added the Chairman.

Speaking on the sidelines of the event the LAPSSET Corridor Development Authority Managing Director Silvestre Kasuku reiterated that the project will not only improve Kenya’s economy in general but also improve the lives of the people along the Corridor with Education being one of the major keys for development, through youth scholarships.
“The Lamu youth have an opportunity to develop their capacity in terms of skills which will prepare the youths for the future job opportunities along the corridor upon implementation of the projects,” said Kasuku.

The seven project components of the LAPSSET Corridor Program have a budget estimated at Kshs. 2 Trillion in construction costs. The Lamu Port with its 32 berths alone will cost approximately USD 3.1 Million, the railway USD 7.1 Million while the Crude oil pipeline will cost a further USD 5 Million. 

The LAPPSET is one of the major Vision 2030 flagship projects that will ultimately culminate in the attainment of transforming Kenya into a middle income, globally competitive and industrializing country with a high quality of life in the next 16 years.

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.