According to foreign media reports, LG Display's OLED TV panel business of large panel supplier is expected to achieve profitability in the third quarter of 2018. This will be the first time since LG Display launched its OLED TV panel business five years ago. Lee.
LG Display has achieved profit for the first time this year since its OLED TV panel business
At present, LG Display is almost a large-scale OLED TV panel market that monopolizes global business. In the second quarter of 2018, LG Display increased the supply price of related panels due to the increase in sales of OLED TVs.
In particular, LG Display's main customers, which accounted for 80% of the total shipments of LG Electronics, have also increased the price of their OLED products. In the past, compared with other TV manufacturers such as SONY, LG Electronics enjoyed some price concessions. However, with the recent increase in the price of OLED panels, the supply prices of LG Electronics and other customers of LG Display are almost the same.
At the beginning of 2017, the average price of OLED panels exceeded $800, and prices continued to fall, eventually stabilizing around $600. According to IHS Markit, LG Display has raised the price of OLED panels from 55吋 to 77吋 by an average of 2.5%, from $695.50 to $712.50.
As the only large OLED panel supplier on the market, LG Display has been reducing the price of OLED panels to attract more customers. Now, LG Display is planning to increase profits by increasing prices. According to sources, LG Display expects to raise prices by 2% to 3% by the end of 2018. Moreover, as LG Display's factory in China will start production in 2018, its profitability will be further enhanced.