LG Display Bets on OLED, Sees Signals of Second-Half Rebound

LG Display is deepening its shift toward organic light-emitting diode (OLED) panels while winding down its legacy liquid crystal display (LCD) operations, and the South Korean panel maker says the strategy is beginning to pay off in stronger margins.

Since chief executive Jeong Cheol-dong took the helm, the company has trimmed its exposure to unprofitable LCD lines and concentrated resources on building an OLED-centered portfolio. Management is pursuing what it calls a "one team" push to raise manufacturing yields, lift productivity and cut material costs across every product line, from small panels for smartphones and tablets to large screens for televisions and monitors.

The transition is already showing up in the numbers. OLED accounted for about 60% of total revenue in the first quarter, an increase of five percentage points from a year earlier. As the share of high-value products climbed, the average selling price per unit area rose 55% compared with the same period in 2025, a gain the company attributes to its restructured business mix even during a seasonally slow stretch.

LG Display is also sharpening its edge in each segment. Its small OLED business is meeting demand from major global clients on the back of stable supply and technical strength, while its mid-size operations are expanding the weight of premium products centered on tandem OLED and high-end LCD. In large panels, the firm is strengthening premium OLED while widening a more price-competitive lineup.

Technology leadership remains a central pillar. The company says it developed the world's first "Gaming DFR" technology, which delivers ultra-high-definition 240Hz and full-high-definition 480Hz refresh rates within a single panel, and it has unveiled the first large W-OLED product built on a four-stack structure. Over the past two years it has strung together a series of industry-first and best-in-class records in OLED televisions and monitor panels.

Analysts on the securities side are watching for a turn in earnings during the second half. A loss is expected in the second quarter as one-off costs such as a voluntary retirement program weigh on results, but the outlook improves later in the year as mobile OLED enters its peak season and shipments of panels to a major North American customer expand.

If those tailwinds materialize as forecast, LG Display's multiyear bet on premium OLED could mark a decisive step toward sustainable profitability after a prolonged period of restructuring.