LG.Philips LCD May Report First Profit Increase in Six Quarters
LG.Philips LCD Co., the world’s second-largest liquid-crystal display maker, will probably post its first profit gain in six quarters as 2006 sporting events and falling prices spur demand for flat-panel televisions.
Net income in the fourth quarter jumped sevenfold to 252 billion won ($258 million) and sales rose 44 percent to 2.7 trillion won, according to the median estimate of nine analysts surveyed by Bloomberg. The Seoul-based company reports on Jan. 12 and will be the first of the world’s top five LCD makers to give results for the period.
LCD makers including Samsung Electronics Co. and AU Optronics Corp. are betting this year’s World Cup soccer and Winter Olympics will encourage consumers to replace glass-tube TV sets, spurring growth in the $42 billion industry. LG.Philips also cut production costs, helping it cope with a drop in prices and a glut in screens for computers.
More: bloomberg.com