The LG G4 was supposed to be the company’s best selling flagship to date, and while that still may be the case, it appears the phone is not selling as well as anticipated. Reports are stating that securities firms are drastically reducing their Q2 estimates for LG, blaming the cuts on G4 sales.
At the low end of the spectrum, Daishin Securities lowered their estimates from $92.3 million to $50.7 million. Brighter, but still lowered, estimates from Korea Investment & Securities dropped their figure to $61 million from $104 million. Do these lowered estimates mean that LG will miss its goal of 8 million G4’s sold by the end of the year? Possibly, but it will not be by much.
To reach their goal, LG needed to sell 2.6 million G4’s each quarter, and shipments for Q2 are coming in right under 2.5 million. While sales may not equal shipments, it seems that the LG G4 is doing fairly well, even though it is falling short of estimates. LG’s increase in marketing to compete with larger companies might also be to blame for the lower profits.