Samsung display lost money in the first quarter due to various factors, foreign media reported.
Samsung display screen is not only the leader of smart phone display business, but also the market share of its electronic competitive display screen has been the first in the world.
It also makes display panels for personal computer displays, smart watches, laptops and TVs.
Analysts said,The company's operating loss was due to a sharp drop in demand for smartphones and televisions following the outbreak of the new crown。
Due to the closure of the company's plant and the permanent closure of the LCD production line, which increases fixed costs and damages the company's performance.
Recently,The company announced that it would stop production of LCD panels by the end of 2020 and upgrade the plant to start production of qled panels.
About 89% of the company's sales come from the supply of OLED panels for smartphones to apple, Huawei, oneplus, oppo, Xiaomi and other brands, which is the biggest blow to the company.
At the same time, the status of China's panel industry has been improved rapidly,According to the capacity planning statistics of global LCD manufacturers, the new LCD capacity in mainland China accounts for more than half of the new capacity in the world.
Recently, some South Korean enterprises including Samsung and LG announced to withdraw from LCD production.
According to Li Dongsheng, founder and chairman of TCL, the reason for the two companies' exit is that the epidemic is only an inducement, and more from the perspective of global industrial restructuring.