LG Display cuts Q4 shipment growth forecast

(ATTN: ADDS share price at bottom)
SEOUL, Dec. 10 (Yonhap) -- LG Display Co., the world's No. 2 maker of
liquid-crystal displays (LCDs), cut its shipment growth forecast on Wednesday for
the fourth quarter from a previous estimate, citing falling panel prices and
slumping demand.
Shipment growth for the October-December period is forecast to rise in the
single-digit percent range from the previous quarter, the company in a regulatory
filing without proving concrete figures, in comparison with an earlier estimate
of a low-to-mid teen percentage increase.
The company also forecast a larger-than-expected drop in profitability, with
operating income likely to fall to the mid-teen percent range from sales. LG
Display initially projected a low 20-percent profit margin.
LG Display projected a 20 percent drop in panel prices, compared to a previously
expected fall in the single-digit percent range.
"LG Display expects an 80-percent production rate, compared to its full capacity,
in the fourth quarter amid faltering demand, but will continue to maintain sound
inventory levels by controlling output," said Jeong Ho-young, the company's vice
president.
The company's third-quarter net income fell 44 percent on-year to 295 billion won
(US$ 211.7 million), as a global glut dragged down LCD prices and U.S.-triggered
financial turmoil undercut demand.
Shares of LG Display closed at 23,500 won, up 0.43 percent from Tuesday.
odissy@yna.co.kr
(END)