LG Display has announced revenues of 6.7 trillion won (US$5.93 billion) for the third quarter of 2010, an increase of 4% from the second quarter and 15% from the third quarter of 2009
Operating profit in the third quarter decreased by 75% to 182 billion won from 726 billion won in the second quarter, and decreased by 73% compared to 662 billion won in the third quarter of 2009.
EBITDA in the third quarter of 2010 was 986 billion won, a decrease of 31% from 1.43 trillion won in the second quarter and an on-year decrease of 32% from 1.45 trillion won in the third quarter of 2009.
Net profit for the quarter was 224 billion won, a decrease of 60% from 555 billion won in the second quarter of 2010 and a decrease of 62% from 595 billion won in the third quarter of 2009.
Young Soo Kwon, CEO of LG Display, noted "There were sharp changes in market conditions mainly owing to inventory adjustment by a number of set makers and distribution channels. However, LG Display expanded market share and recorded its highest ever quarterly sales with recognition of differentiated technologies including IPS from customers and in the marketplace. We have gained resilience by strengthening our fundamentals and strategies of responding flexibly to market changes. We will take advantage of the changing environment to sharpen our competitive edge."
Overall, the company shipped a total of 7.2 million square meters of display area in the third quarter of 2010 which represents an increase of 12% compared to the previous quarter. On a revenues basis, TFT-LCD panels for TV, monitor, notebook and handset applications accounted for 58%, 19%, 15% and 8%, respectively, in the third quarter.
The average utilization rate in the third quarter of 2010 was low 90s percentage. The ASP per square meter of display area shipped was US$778, a decrease of 10% on quarter.
With 3.15 trillion won of cash and cash equivalents and 111% of liability to equity ratio as of October 30, 2010, the financial structure of the company remains stable.
LG Display expects total display area shipment in the fourth quarter to increase by a mid single digit percentage compare to the third quarter. The company also expects that the decline of ASP in the fourth quarter to decelerate and panel price for IT (notebook and monitor) products to stabilize or may show an increase in some models.