The fourth quarter operating profit of LG displays is 44 billion won (41 million 200 thousand US dollars), far lower than expected, the lowest operating profit since the second quarter of 2016. On average, 12 analysts surveyed by the Thomson Reuters I/B/E/S estimated the fourth quarter operating profit of 250 billion won in the fourth quarter.
"the downward trend in panel prices is expected to continue, but prices should stabilise by the end of the first quarter," Don Kim, LG monitor's CFO, said in a statement. Panel shipments are expected to experience a higher single-digit percentage drop in the first quarter as demand falls during the off-season.
Analysts say apple is the latest as demand is weakIPhoneX gave up the LCD panel to switch to OLED, and the sales of the LCD panel in the fourth quarter of last year were less than the previous year. WitsView, a research firm, said the price of the liquid crystal panel fell 20% to 40% last year after the price increases affected the demand for large - size TV sets.
However, WitsView also said that as the TV shipments rebounded, lower panel prices encouraged TV manufacturers to stock up, and the decline of the panel price will be eased this year. Moreover, the supply and demand of the panel will be more balanced because the new production line of China's Beijing Oriental and other companies is still improving the quality of production.
The LG display led the TV OLED panel market, but the display division of Samsung Electronics dominated the small size OLED panel Market for the mobile phone. At present, LG displays are trying to cut into the mobile phone OLED panel market. In December, South Korea approved the plan for the establishment of a OLED panel production plant in China by LG displays. (compiling / Flute rain)