LG Display has posted disappointing end-quarter results as the company struggles with low LCD demand from TV firms, weak prices and an EU anti-trust fine.
In a regulatory filing, LG posted a loss of $239.3 million for the quarter after being hit with a euro 215 million fine for price fixing.
The company warned of lower LCD shipments and said that it expects the weak price of Liquid Crystal Display (LCD) screens to continue after posting its first loss in seven quarters.
Analysts believe that even though the struggling LCD market will improve slightly owing to the demand from tablet devices, the market for computer and television displays will continue at a slower pace.
Kim Young-il, a manager at Korea Investment Trust Management, said in a statement to Reuters: “TV demand appears to be weaker than expected in China and the United States. TV prices continued to fall in January, signalling that TV makers were not confident about demand yet.”
But things don't look all bad for LG Display as the company, which is one of the major suppliers of LCD screens for Apple's iPad, has scored a major deal with to resume supplying screens to Sony.
Sony had switched from LG Display to Samsung six years ago.