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LG.Philips LCD 4th-Qtr Prof&# |
| Name |
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Administrator |
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Date |
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2006.01.16 |
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Click |
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1867 |
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| LG.Philips LCD 4th-Qtr Profit Jumps, Beats Estimates <BR><BR>LG.Philips LCD Co., the world's second-largest maker of liquid-crystal displays, reported fourth- quarter profit jumped ninefold, beating analysts' estimates, on demand for flat-panel televisions. <BR>Net income in the fourth quarter rose to 328 billion won ($337 million), compared with 35 billion won a year earlier, while sales gained 53 percent to 3 trillion won, the Seoul-based company said in a statement today. Profit beat the 252 billion won median estimate of nine analysts surveyed by Bloomberg. <BR><BR>Chief Marketing Officer Bock Kwon said there will be a shortage of LCDs for televisions this quarter, while oversupply of screens for computers will worsen. LG.Philips and larger rival Samsung Electronics Co. are benefiting as lower prices for flat- screen TVs and sporting events including the soccer World Cup spur demand in the $42 billion LCD industry. <BR><BR>``There are expectations that these kinds of events will lead to increased demand for new televisions,'' said Kim Hyun Tae, who helps manage about $500 million at Landmark Investment Management Co. in Seoul. ``If demand is sustained, it'll be a positive turnaround for LG.Philips this year.'' <BR><BR>Operating profit surged to 334 billion won from 2 billion won a year earlier, the company said. The median estimate was 319 billion won, according to the Bloomberg survey. <BR>Average LCD prices during the quarter fell 8.3 percent to $2,112 per square meter from a year earlier, the company said. Prices at the end of March will probably fall by about 5 percent from the end of last year, LG.Philips said. <BR><BR>Shipments rose 74 percent from a year earlier. TVs accounted for 34 percent of sales compared with 15 percent in the fourth quarter of 2004. <BR> |
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