LG Display has cut its outlook for the current quarter after seeing a sharp decline in demand for LCD (liquid crystal display) panels and a bigger than expected drop in their price.
The company still expects demand to increase from the third quarter but growth is now expected to be in the single low-digit percentage range. It had been forecasting a percentage jump in the low to mid-teens. Prices are down by the low twenties percentage from the third quarter, it said in a statement.
Production has already been scaled back in light of the lower-than-anticipated demand, it said.
LG Display is a major manufacturer of LCD panels, which it supplies to manufacturers of products such as laptop PCs, televisions and cell phones. Lower global demand for electronics products and computers as a result of the poor economy is causing device makers to scale back their production and that in turn is hitting LG Display.