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LG Electronics’ TV factory runs at 75 pct operation rate in Q1 amid slow demand

May 15, 2023

LG Electronics Inc. ran its TV manufacturing plant at around 75 percent in the first quarter, the company said Monday, amid slowing demand for home entertainment products.

The tech company said in a regulatory filing the rate came in at 75.3 percent for the three months ending in March, the lowest since March 2015 when the corresponding figure was 68.1 percent.

LG’s TV business made a turnaround in the first quarter, after making losses for the past three consecutive quarters, thanks to improving TV demand in Europe, LG’s biggest OLED TV market, and decreasing inventory levels and marketing costs.

Meanwhile, LG operated its manufacturing facilities for electric vehicle (EV) components at a record high of 99 percent, up from 88.2 percent in the same period last year.

LG’s EV business reported an all-time high of 54 billion won (US$40.3 million) in operating profit in the first quarter.

It also said the value of orders for its electric vehicle component solutions, such as in-vehicle infotainment systems and headlamps, has reached a cumulative 80 trillion won, amid the explosive growth of electric vehicles.

A flag with the logo of LG Electronics Inc. is seen in this undated file photo taken in Yeouido, Seoul. (Yonhap)
A flag with the logo of LG Electronics Inc. is seen in this undated file photo taken in Yeouido, Seoul. (Yonhap)