ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronEye IconIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailMenu BurgerPositive ArrowIcon PrintIcon SearchSite TitleTitle ChevronIcon Twitter
Companies

World's top LCD panel maker LG Display sees profit plunge 96%

Price competition drained earnings in 2018, but company expects OLED profit this year

LG Display expects the OLED panel business to turn a full-year profit for the first time in 2019.   © Reuters

SEOUL -- LG Display's operating profit tumbled 96% last year to 92.9 billion won ($83.2 million), the South Korean company said on Jan. 30, drained by competition in a saturated liquid crystal display panel market.

The results mark a stark reversal for the world's largest LCD panel maker, which reported record profit in 2017.

LG Display turned in a loss of 326 billion won during the first half of 2018, when extra output from Chinese competitors undercut prices. The company eked out a full-year profit when prices recovered somewhat in the second half.

Annual sales receded 12% to 24.33 trillion won. Net results came to a loss of 179 billion won, down from a 1.9 trillion won net profit in 2017. 

LG Display's organic light-emitting diode panels provided one bright spot, as they went into the black in the second half of 2018. The delivery of 2.9 million television panel equivalent units last year made OLED panels responsible for over 8% of total sales. The manufacturer aims to log a full-year profit in the OLED segment this year.

The company is asking Apple to adopt its OLED panels for iPhones.

"We believe it will happen in the near future," Chief Financial Officer Seo Dong-hee said on Jan. 30.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Get Unlimited access

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends June 30th

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to the Nikkei Asian Review has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media