The executives at Korean based LG Display must be reading all of the recent stories that wonder whether or not Apple has lost its mojo
. The company is highly connected to the fortunes of Apple and it is concerned that if the Cupertino tech giant cuts production of its mobile devices, LG will get hurt with lower orders and reduced revenue. To make sure that it isn't 100% dependent on Apple, LG Display says that it will seek to broaden its lineup of customers for its IPS panels
, FPR-type 3D TV panel
s and WRGB OLED panels
LG Display wants to be less reliant on the sales of Apple products, like the Apple iPad
Last year, panels for tablets and mobile phones represented 31% of LG Display's business, which was second to its displays for televisions. Here is why LG is so concerned about Apple's fortunes in 2013 and beyond. According to Woori Investment & Securities analyst Park Young-joo, more than a quarter of LG Display's revenues and a whopping 70% of its profits
came from business conducted with Apple in 2012. Also of concern to LG is the weakening Japanese Yen. The declining currency makes exports more profitable for Japanese display suppliers like Japan Display and Sharp. LG Display might be forced to cut prices and accept lower margins, or lose some relationships that it has cultivated over the years. In the case of Apple, LG Display just wants to reduce its dependence on the Cupertino based firm, not cut them off completely.
In its most recent earnings report, LG Display posted profits of 319 billion won ($298 million USD). Television display's accounted for 43% of revenue while 17% was attributed to tablet panels. 14% of revenue came from sales of displays for other mobile devices.