LG Display narrows loss on Apple demand - Mobile World Live

LG Display narrows loss on Apple demand

27 JAN 2012

Flat-screen maker LG Display managed to significantly reduce losses in Q4 thanks in part to increasing demand for its displays from Apple for use in the iPhone and iPad. 

Reuters reports that LG posted a KWR144.8 billion (US$129.3 million) operating loss in the October to December period, slightly higher than the KWR117 billion loss forecast in an analysts’ poll, but a big improvement on the KWR492 billion loss on the previous quarter and a KWR387 billion loss a year ago.

"LG Display is expected to further narrow its loss in the current quarter and turn around in the second quarter, helped by sales of its higher-margin products such as 3D TV panels and panels used in Apple's iPhone and iPad," said SR Kwon, an analyst at Dongbu Securities.

Apple reported a quarter of record-breaking sales earlier this week, shifting 37 million iPhones and 15 million iPads in Q4. LG is also a key panel supplier for Amazon's Kindle Fire tablet, which also chalked up strong sales during the key holiday quarter.

"The total shipments of LG Display for the first quarter of 2012 will be similar to the fourth quarter of 2011 and prices are expected to remain stable," said LG Display’s CFO James Jeong in a statement.