South Korean mobile telecommunications service operator LG Telecom recorded a weak second quarter, posting a net loss in the financial results it released.
The company reported a net loss of $205.7 million, compared with its net profits of $56.8 million in the same quarter last year and $109.5 million in the previous quarter.
LG Telecom's sales were up 14.4 % over the same quarter last year, and 4.7% from the previous quarter to reach to $1.04 billion.
Operating profits were at $99.8 million or a 2% increase year-over-year and a 10.8% decline from the first quarter.
The company blamed its second quarter financial struggles on an increase in marketing expenses.
LG Telecom recorded marketing expenses of $188.3 million, up by 2.9% from the previous quarter, 'due to the increase in acquisition cost in overheated competition environment.'