OLED TVs account for about 40% of LG Electronics TV sales

OLED TVs accounted for 38.9 percent of total TV sales from LG Electronics in the fourth quarter of 2021.

Market research firm Omdia said on April 11 that OLED TVs accounted for 38.9% of total LG Electronics TV sales in the fourth quarter of 2021. This was an all-time high and nearly double the 20.4% figure in the fourth quarter of 2019.

Strong OLED TV sales boosted LG Electronics’ share of the global TV market in terms of sales revenue to an all-time high of 18.5 percent in 2021. This figure is significant because it was achieved by expanding sales of premium tiered TV models.

Stock market analysts expect LG Electronics’ OLED TV sales in 2022 to reach 5 million units, an increase of more than 20 percent compared to 2021. Accordingly, they say the proportion of OLED TV sales in LG TV sales in 2022 will exceed 40 percent.

Expansion of premium OLED TV models increased LG Electronics’ sales and operating profit. In 2021, the HE business division responsible for LG’s TV business recorded annual sales of 17,218.6 billion won, up 30.6 percent from 13,183.6 billion won a year earlier. During the same period, the company’s operating profit rose 18% to 1,099.8 billion won.

The HE business division of LG Electronics reported a 4 trillion won increase in quarterly sales for five consecutive quarters from the fourth quarter of 2020 to the fourth quarter of 2021. Sales are expected in the mid-range of 4 trillion won in the first quarter of 2022.

At LG Display, which supplies OLED panels to 20 TV manufacturers around the world, OLED panels accounted for more than 40 percent of total sales in 2021. LG Display recorded 29.087.8 billion won in sales and 2,230.6 billion won in operating profit in the year 2021 thanks to growth from large OLED panel business. Its sales grew 23.1 percent over the previous year and its operating profit turned black.

LG Display’s share of the global TV screen market was 23.8% in terms of sales revenue in the fourth quarter of 2021. It surpassed BOE’s share of 20.6%, and returned to the number one position again in one year. LG Display’s OLED TV sales started at 200,000 units in the first year of mass production, and cumulatively exceeded 10 million units in early 2020, seven years after the start of mass production. LG Display’s large OLED panel shipments are expected to exceed 10 million units in 2022.

LG Display is expected to continue to dominate the OLED display market for the time being. Samsung Display began mass-producing QD displays at the end of 2021, but the company’s production and production volume is not yet sufficient. Omdia estimates QD-screen shipments for Samsung Displays in 2022 at 1.25 million units, much smaller than LG Display’s 10 million units.

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