LG Display ‘went black’ in the fourth quarter of last year

LG Display announced on the 27th that it posted 7,461.2 billion won in sales and 6.854 billion won in operating profit in the fourth quarter of last year. Compared to the same period last year, sales increased 16% and operating profit turned black.

As a result, last year’s annual sales were 24.23 trillion won, an increase of 3% from the previous year, and the operating loss dropped sharply to 29.1 billion won.

In the fourth quarter of last year, the shipping area increased by 5% compared to the previous quarter and the sales price per area increased by 12% compared to the previous quarter due to strong demand for TV products and IT and the increase in shipments of large OLED and P-OLED due to the spread of home culture due to the new coronavirus infection (Corona 19) and increased sales

The increase in operating profit is attributed to the constant trend of shipping and selling price, as well as the achievements of three strategic tasks, in which LG Display has focused on: ▲ OLED trends ▲ Strengthening the business base P -OLED ▲ Innovation of LCD structure.

In particular, significant performance improvement effects were shown through the expansion of OLED TV panel sales after the Guangzhou OLED plant large-scale production and increased production based on the stable operating base. of the P-OLED business. In addition, LCD screens for IT and TV, which are generating results through differentiated competitiveness, are also contributing to improved profits.

In terms of sales by each division, IT panels accounted for 37% higher, TV panels for 29%, and mobile panels and other sales for 34%.

In the fourth quarter, net income was 621 billion won and EBITDA from operating income plus amortization of tangible and intangible assets reached 1,774.3 billion won. As operating profit improved, the EBITDA margin also increased considerably, reaching 24%, the highest level in the 15th quarter.

Seo Dong-hee, CFO (Chief Financial Officer) of LG Display, said: “Achievements achieved by maximizing opportunities in the market while responding to the contactless and offline market environment and expanding sales in the OLED division.”