LG Display Rides Higher TV Panel Prices to Report Over Triple Gain in Operating Profit

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South Korea’s LG Display on Wednesday noticed its third-quarter working revenue greater than triple as robust tv demand boosted panel costs however mentioned it expects the shopping for spree prompted by the pandemic to gradual subsequent yr.

The Apple provider posted an working revenue of KRW 529 billion (roughly Rs. 3,390 crore) or the July-September quarter versus KRW 164 billion (roughly Rs. 1,050 crore) a yr earlier.

It missed a median analyst forecast of KRW 600 billion (roughly Rs. 3,840 crore) compiled by Refinitiv SmartEstimate.

Revenue rose 7.2 % to KRW 7.2 trillion (roughly Rs. 46,110 crore).

“Panel shipments in the fourth quarter are expected to increase by mid-10 percent compared to the third quarter, with the delayed shipments affected by the industry’s component shortage …while the prices of LCD TV panels are expected to remain on a downward trend,” LG Display mentioned in a press release.

LG Display added the robust demand for screens seen throughout the pandemic would doubtless decelerate beginning subsequent yr.

“Panel makers including LG Display have enjoyed strong demand of their panels for both TVs and IT devices, including monitors and laptops, because people spent extra time amid COVID shutdowns, but such demand will likely ease as vaccinated people already have begun to spend less time in front of screens,” mentioned Park Sung-soon, an analyst at Cape Investment & Securities.

Prices of LG Display’s mainstay 55-inch liquid crystal show (LCD) panels for TV units elevated by about 57 % in the third quarter yr on yr, market knowledge from TrendForce’s WitsView confirmed.

Prices for these panels eased 7 % in the third quarter from the second, in accordance to WitsView.

But the tempo of progress has began easing and should weaken additional in the present quarter due to rising provides and softer demand as extra individuals get vaccinated and spend much less time in entrance of screens, analysts mentioned.

Shares of LG Display ended down 0.3 %, versus the benchmark KOSPI’s 0.8 % fall.

© Thomson Reuters 2021


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Source: gadgets.ndtv.com