Korean makers of thin film transistor liquid crystal display (TFT-LCD) panels are taking advantage of a continuing gap between supply and demand to push up prices while raising sales targets. The LG conglomerate’s LG-LCD unit has released figures showing sales of its panels in the first half of its fiscal year reached $780m, up 424% year-on-year. Press reports quoted company sources as saying they expect to make a net profit of $129m on that revenue. The company has readjusted its sales target for the year from $1bn to $1.7bn. Samsung Electronics Co, the market leader in the international 13.3-inch TFT-LCD market, has not yet released its first-half figures but analysts say following $400m sales in the first quarter, they expect sales for the half of well over $800m. Samsung’s last projection for the year raised the forecast from $1.1bn to $1.6bn.
Samsung says that demand for TFT-LCD displays for notebook PCs is rapidly changing from 12.1-inch panels to 13.3-inch products, while at the same time demand for 15.1-inch LCDs used for desktop monitors is increasing significantly. The price of 13.3-inch LCDs has risen 40% from earlier this year to about $500 per panel while 15.1-inch panels cost around $600, Samsung said. The market shortage will continue for the rest of this year, pushing prices up further, analysts say, but additional capacity in Korea and Japan and several new facilities in Taiwan will ease the supply shortage early next year. รก
