LG Electronics on Wednesday posted a deficit of over W100 billion in its cell phone business in the second quarter (US$1=W1,184).

It shipped 30.6 million handsets in the quarter, resulting in sales of W3.37 trillion and an operating loss of W119.6 billion.

LG's consolidated sales stood at W14.41 trillion, down 0.7 percent from a year ago. Operating profit plummeted 89.9 percent to W126.2 billion, and net profit 32.9 percent to W856.4 billion.

The electronic giant's operating profit ratio declined to 0.9 percent, largely due to the loss in the cell phone division.