LG Electronics (KRX:066570) is set to surpass 2 trillion won in annual revenue from its subscription-based home appliance business this year, Pulse News reported Thursday.
First-quarter sales, which excluded care services, jumped 45% year on year to 501 billion won, driven by strong demand for maintenance of high-use appliances such as water purifiers and washing machines, the report said.
The electronics products maker aims to evolve the model into a lifecycle business, expanding beyond rentals to include recurring sales of filters, detergents, and parts, it said.
Shares of LG Electronics fell 4% in recent trade on Friday.
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