LG Display reported Oct. 22 unaudited earnings results based on consolidated K-IFRS (International Financial Reporting Standards) for the three-month period ending Sept. 30.
- Revenues in the third quarter of 2014 increased by 9 percent to KRW 6,547 billion from KRW 5,979 billion in the second quarter of 2014 and decreased slightly from KRW 6,579 billion in the third quarter of 2013.
- Operating profit in the third quarter of 2014 was KRW 474 billion, a quarter-on-quarter increase of 191% from an operating profit of KRW 163 billion and a year-on-year increase of 22% from the operating profit of KRW 389 billion.
- EBITDA in the third quarter of 2014 was KRW 1,295 billion, a quarter-on-quarter increase of 28% from KRW 1,008 billion and a year-on-year increase of 1% from KRW 1,281 billion.
- Net income in the third quarter of 2014 was KRW 354 billion compared with net income of KRW 256 billion in the second quarter of 2014 and with net income of KRW 240 billion in the third quarter of 2013.
LG Display almost tripled its operating profit in the third quarter of 2014 compared to the previous quarter based on its product differentiation strategy and industry-leading technologies. The company posted its tenth straight quarterly operating profit at KRW 474 billion, a quarter-on-quarter increase of 191 percent and a year-on-year increase of 22 percent, driven by increased shipments of small- and medium-size panels such as high-resolution panels for mobile devices, and by an increased share of large-size panels due to the trend towards larger size TVs. In addition, seasonal demand growth and a favorable pricing trend in large-size panels improved the results.
“LG Display has been focusing on expanding its profit base through technology differentiation for each product segment and on strengthening its market position in the premium market,” said Sang-Beom Han, CEO of LG Display. “We will continue to generate profits with innovative technologies and products that will lead the market.”
LG Display shipped a total of 9.65 million square meters of net display area in the third quarter of 2014, an increase of 3 percent quarter-on-quarter. Average selling price per square meter (ASP/m2) increased by 7 percent to USD 658 due to increased shipments of small- and medium-size displays with higher average selling prices per area. TFT-LCD panels for TVs, mobile devices, monitors, tablets, and notebook PCs accounted for 42 percent, 19 percent, 17 percent, 12 percent and 10 percent respectively on a revenue basis in the third quarter of 2014.
With 99 percent in liability to equity ratio, 116 percent in current ratio, and 19 percent in net debt to equity ratio as of Sept. 30, the financial structure of the company remains stable.
