Topic: LG Company Financial Analysis
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Introduction
The company has been ventured in the electronic world that has facilitated by the increased number of customers in the market. This had been an ample time for the company’s operations to be strategically arranged and formulated to ensure that they are effective and efficiently undertaken once the company started its operations .This helped the company in the production of quality products that do not disappoint the consumers thus earning their loyalty.
The company has numerous competitors in the electronic market such as the mobile phone companies such as Samsung, Nokia, Apple, Blackberry, HTC, Alcatel, Sony, Motorola, Tecno mobiles among others. The competitors are at a rise as they also try to achieve the market dominance with their services and products. On the other hand in the face of appliances especially the home use appliances, such companies as Samsung, Armco, Phillips, and Sony among others are also in the move to dominate in the market. This poses a threat to the company of losing its dominance in the market (Grant, 2007).
The company’s financial statements are stated below indicating the trends in the financial status of the company. The trends are clearly shown in the statement of financial statements as well as in the income statement.
LG COMPANY LTD
INCOME STATEMENT FOR THE YEARS ENDED DEC 2011, 2012, 2013
Dec 31
2011
Restated
$ Dec 31
2012
$ Dec 31
2013
$
Revenues 165,001,771.0 201,103,613.0 228,692,667.0
TOTAL REVENUES 165,001,771.0 201,103,613.0 228,692,667.0
Cost Of Goods Sold 112,145,120.0 126,651,931.0 137,696,309.0
GROSS PROFIT 52,856,651.0 74,451,682.0 90,996,358.0
Selling General & Admin Expenses, Total 26,588,576.0 33,073,560.0 38,934,012.0
R&D Expenses 9,955,164.0 11,532,795.0 14,319,402.0
Depreciation & Amortization, Total 668,620.0 795,989.0 957,931.0
Other Operating Expenses...