LG Display CEO Jeong Cheol-dong. [LG Display]
LG Display CEO Jeong Cheol-dong. [LG Display]

LG Display posted its first first-half operating profit in five years, even as one-time charges pushed the second quarter into the red. The company said the underlying trend remains positive.

LG Display disclosed Wednesday that its consolidated second-quarter operating loss narrowed to 107.7 billion won ($73 million) from 116 billion won in the same period last year. Sales rose 0.4 percent year-on-year to 5.61 trillion won, while net loss widened to 418.8 billion won, swinging back into the red.

On a first-half basis, consolidated sales reached 11.15 trillion won and operating profit came to 39 billion won, swinging to a profit from an operating loss of 82.6 billion won on sales of 11.65 trillion won a year earlier. It marks the first time LG Display has recorded a first-half profit since 2021.

The first half is typically a slow season for display demand, as finished-product manufacturers adjust component inventories ahead of second-half product launches. The second quarter also absorbed one-time costs tied to workforce restructuring.

Despite those headwinds, LG Display improved its first-half profit-and-loss position by 121.6 billion won year-on-year, limiting the impact of the off-season and one-time charges.

The company attributed the improvement to visible progress in its shift toward an OLED-centered business structure built on technology leadership.

In the second half, LG Display said it will strengthen its competitive position by securing what it calls "top-tier technology" and advancing technology-driven cost innovation.

The strategy goes beyond simple cost cuts. The company plans to maximize efficiency across the entire value chain — from development through manufacturing and production — through AI-driven transformation, fundamentally improving its operating structure while pursuing growth anchored in differentiated customer value.

In the small- and medium-sized display segment, LG Display will concentrate on proprietary competitive technologies and sharpen its focus on high-end products. It also plans to make full use of its stable technology, development and mass-production capabilities to respond flexibly to market shifts.

In the large-display segment, the company will reinforce its leadership in the premium market and expand results by building on a product lineup that combines differentiated technology with cost competitiveness.

Aligned with the accelerating shift from LCD to OLED in the monitor market, LG Display plans to strengthen its lineup of high-value products such as gaming OLED monitors and increase shipment volumes.

Kim Seong-hyeon, LG Display's chief financial officer, said Wednesday that "even in the second quarter, the underlying business profitability remained in positive territory when one-time factors are excluded." He added that the company "will continue to pursue annual earnings improvement through advanced cost innovation and stronger business competitiveness in the second half, solidifying a stable profit structure."


gil@heraldcorp.com