Lg Display Co., Ltd · KRX:034220
Lg Display — LG.Philips LCD — Q1 2005 Earnings Presentation
39 slides from Lg Display's earnings presentation, Apr 11, 2005
Slide 1: Form 6-K Report of Foreign Private Issuer
SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of April 2005 LG.Philips LCD Co., Ltd. (Translation of Registrant’s name into English) 20 Yoido-dong, Youngdun
Slide 2: Q1 05 Earnings Results
Q1 05 Earnings Results I. Performance in Q1 2005 – Consolidated Financial Data (Unit: KRW B, Korean GAAP) Item Q1 05 Q4 04 Q1 04 QoQ YoY Quarterly Results Revenues 2,064 1,933 2,188 6.8% -5.7% Operating Income -135 2 699 — — Ordinary Income -157 19 679 — — Net Income -79 35 628 — — II. Event of Q1 2
Slide 3: US GAAP consolidated and Korean GAAP non-consolidated information
2. Please note that the financial data included in the investor presentation and press release are prepared on a consolidated Korean GAAP basis only (US GAAP consolidated and Korean GAAP non-consolidated information are stated below). 3. Financial data for Q1 05 are unaudited and unreviewed and prov
Slide 4: LG.Philips LCD Reports First Quarter 2005 Results
LG.PHILIPS LCD REPORTS FIRST QUARTER 2005 RESULTS SEOUL, Korea (April 11, 2005) – LG.Philips LCD (NYSE: LPL, KRX: 034220), one of the world’s leading TFT-LCD manufacturers, today reported unaudited earnings results based on consolidated Korean GAAP for the three-month period ended March 31, 2005. Am
Slide 5: First Quarter Financial Review
First Quarter Financial Review Revenue and Cost Revenues decreased by 6% to KRW 2,064 billion (USD 2,033 million) in the three-month period ended March 31, 2005, from KRW 2,188 billion (USD 2,155 million) in the corresponding period of 2004 due to decreases in panel prices and the strong appreciatio
Slide 6: Utilization and Capacity; Industry Outlook
Utilization and Capacity Total input capacity on an area basis increased approximately 13% in the first quarter of 2005 compared to the fourth quarter, due mainly to the ramp-up of P6. P6 averaged 55,000 input sheets per month for the first quarter of 2005. Industry Outlook The following expectation
Slide 7: Forward-Looking Statement Disclaimer
For more information about the Company, please visit http://www.lgphilips-lcd.com. LG.Philips LCD makes “Technology you can see!” Forward-Looking Statement Disclaimer This press release contains forward-looking statements. Statements that are not historical facts, including statements about our beli
Slide 8: Consolidated Statements of Income
LG.Philips LCD CONSOLIDATED STATEMENTS OF INCOME (In millions of KRW) (The financial statements are based on unaudited Korean GAAP) In millions of KRW 2005 2004 1Q 1Q REVENUE 2,064,046 100% 2,188,013 100% Cost of goods sold (2,102,015) -102% (1,418,002) -65% GROSS PROFIT (37,969) -2% 770,011 35% Sel
Slide 9: Consolidated Balance Sheets
LG.Philips LCD CONSOLIDATED BALANCE SHEETS (In millions of KRW) (The financial statements are based on unaudited Korean GAAP) In millions of KRW 2005 2004 31-Mar 31-Dec ASSETS Current assets: Cash and cash equivalents 1,350,492 12% 1,361,239 13% Trade accounts and notes receivable 1,098,624 10% 890,
Slide 10: Consolidated Statements of Cash Flows
LG.Philips LCD CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions of KRW) (The financial statements are based on unaudited Korean GAAP) In millions of KRW 2005 2004 1Q 1Q Net Income (78,830) 627,925 Depreciation 402,651 271,773 Amortization 11,546 11,312 Others 17,494 5,421 Operating Cash Flows 352,
Slide 11: Consolidated Statements of Income (US GAAP)
LG.Philips LCD CONSOLIDATED STATEMENTS OF INCOME (In millions of KRW) (The financial statements are based on unaudited US GAAP) In millions of KRW 2005 2004 1Q 1Q REVENUE 2,064,046 100% 2,188,013 100% Cost of goods sold (2,090,143) -101% (1,411,656) -65% GROSS PROFIT (26,097) -1% 776,357 35% Selling
Slide 12: Consolidated Balance Sheets (US GAAP)
LG.Philips LCD CONSOLIDATED BALANCE SHEETS (In millions of KRW) (The financial statements are based on unaudited US GAAP) In millions of KRW 2005 2004 31-Mar 31-Dec ASSETS Current assets: Cash and cash equivalents 1,350,492 12% 1,361,239 13% Trade accounts and notes receivable 1,098,624 10% 889,909
Slide 13: Consolidated Statements of Cash Flows (US GAAP)
LG.Philips LCD CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions of KRW) (The financial statements are based on unaudited US GAAP) In millions of KRW 2005 2004 1Q 1Q Net Income (94,509) 639,667 Depreciation 403,022 269,754 Amortization 1,885 1,650 Others 14,572 1,644 Operating Cash Flows 324,970 91
Slide 14: Net Income Reconciliation to US GAAP
LG.Philips LCD Net Income Reconciliation to US GAAP (In millions of KRW) 2005 Q1 Net Income under K GAAP (78,830) Total US GAAP Adjustments (15,679) Depreciation of property, plant and equipment (655) Amortization of Intellectual Property Rights 11,806 Adjustment of AR discount loss (558) Capitaliza
Slide 15: Q1 05 Earnings Results, April 11, 2005
Q1 0511, April Earnings 2005 Results
Slide 16: Disclaimer
Disclaimer This and in statements. they oral the are presentation statements Korean made, These and Financial contains made statements we undertake bySupervisory forward-looking ourareofficers, based no obligation Service, on directors current statements. in to or our update plans, employees annual
Slide 17: Agenda
Q1 05 Earnings Agenda Performance Paju-P7 47”W 42”W 37”W 32”W Outlook Highlights Results
Slide 18: Q1 05 Earnings Results
Q1 05 Earnings Results
Slide 19: Income Statement (K GAAP)
Q10GAAP KRW COGS Revenue Income 2,064 1,933 2,188 7% (6%) Margin Gross Operating EBITDA Net (2) 35 5 (7) (37) Source: K 32 (7) 05 21 14% income margin (39) 48% 2,102 1,840 1,418 45 bn profit margin Income 2(8) 13 (%) before Unaudited, N/A 29 Q1 (32) margin (Consolidated) (4) (6) income margin N/A (3
Slide 20: Balance Sheet (K GAAP)
51%05 Q1 KRW 11,035 10,357 7,287 7% (1%) 149% 542 bn Balance 1,350 1,361 Q1 (8%) 379 94% 05 737 805 3,741 17% Sheet Q4 43% 5,351 4,585 04 (21%) 570 (3%) Q1551 694 1,352 04 25% 83% 2,479 1,985 QoQ 3,546 (2%) 60% 5,684 5,772 change 7(9) 39 30 23YoY change Cash Assets Short Liabilities Inventory Long S
Slide 21: Cash Flow (K GAAP)
Q1GAAP KRW (79) 35 628 (114) (707) Depreciation Working Others Cash CAPEX Financing Net K Source: 7 384 05 income change 283 415 flow 31 132 bn Cash (74) Unaudited, 591 17 capital Q1 (Consolidated) 12 activities (173) from before in (72) (270) (198) Flow 05 & (97) cash Amortization Q4 operations 743
Slide 22: Performance Highlights
Performance Highlights
Slide 23: Shipments
Shipments 2,500 $3,000 958 $0 Source: * **Quarterly Net Q4 771 display $4,000 Q3 $2,500 Company $1,500 Q2 and average $3,512 area Q1 1,500 ASP 561 04 financials shipped Total 560 Q1 selling $3,554 $2,304 05 531 KTotal price m² $3,500 $2,085 $1,000 *KASP**/m² per m² $2,857 $2,000 500 square ASP/m² $5
Slide 24: Revenue by Product Mix
Revenue: Q4 0% 20% 53% 56% 40% 60% 27% 18% 26% 80% 15% 22% 14% 100% 5% 4% Q1 Source: APPL MNT NBPC TV 04 Company 05 Product Mix financials
Slide 25: Quarterly Input Capacity
Q1404 Unit: by Q 0 P1~P3 300 P4 600 P5 900 1200 P6 1500 1800 Source: Q105 Q104 Q204 Q304 Area input 05Quarterly Capacity Company (K capacity m²) input Update averaged financials capacity 55K per month for the quarter
Slide 26: EBITDA, Cash Margin and ROIC
EBITDA Cash 54% 52% 16% 36% 39% Sales 13% 35% 42% 108% 126% 146% 157% K 80% Q1 2001 2002 2003 2004 Source: * IC GAAP 05(Invested ROIC / IC* Unaudited, margin (Consolidated) Capital) Company equals financials average of net debt and equity for the designated period ; 3mo 05 ratios are annualized
Slide 27: Outlook
Outlook
Slide 28: Capex Outlook
Capex Outlook Total Q1 ASP :End EBITDA Q2 Source: P7 Others P6 2004 2005(E) 1,436 1,265 2,212 3,144 341 3,818 4,580 Double Single 05 05: of per Shipments vs. schedule Q1 Mid Company digit m2 digit Margin Q2 05to(%) 05 vs. (%) high (KRW per End financials, teens m2 ofbn) Q2 05Delivery base
Slide 29: Board and Committees
Board Committee Bon The Ingoo Dongwoo Director Board Joon Han OfAudit Directors Koo Chun of Director Outside Directors JRD, Committee Director Audit Director Bart Vice Ron Van Hee Chairman Committee Outside H. Nomination Halder Gook Wirahadiraksa Directors Lee &Director Remuneration CEO Director and
Slide 30: Questions and Answers
Questions and Answers
Slide 31: Appendix
Appendix
Slide 32: Income Statement (US GAAP)
US32 KRWbn 2,064 776 7% N/A Operating Margin 35 Gross Net Source: GAAP 15% margin 708 (72%) 2,090 45 margin (%) Unaudited, 977 Q1 N/A 29 income Income N/A (1) (26) 6 05 691 N/A Operating 1(6) Q4 22 N/A (126) 640 EBITDA (37%) 13 Statement 04 3Company Revenue (7) 1,933 (5) Q1 272 margin (7) N/A 04(148
Slide 33: Balance Sheet (US GAAP)
US GAAP KRW 10,933 7,159 10,262 7% 53% Cash Assets Short Liabilities Inventory Long Shareholders’ Net Source: (1%) debt 149% & term 542 bn 1,350 1,361 equivalent Unaudited, to Q1 (8%) 377 debt Balance 95% equity 05 737 804 equity 3,748 17% Q4 43% 5,365 4,599 ratio Sheet 04 Company (21%) 571 (3%) Q1
Slide 34: Cash Flow (US GAAP)
US376 KRW 640 (95) (151) (735) 56 Depreciation Working Others Cash CAPEX Financing Net Source: GAAP income change 272 405 flow 29 133 bn (66) Unaudited, 181 15 capital Q1 14 activities (154) from before Cash in (242) (44) (198) 05 & (88) cash Amortization Q4 operations 759 Flow (85) financing 8304 (
Slide 35: Net Income Reconciliation K GAAP to US GAAP
KRW US Depreciation Amortization Adjustment Capitalization Inventory Cash Pension Income Others Net Source: GAAP Income income flow bn (ESOP, tax Unaudited, expense Q1 valuation hedge adjustments effect under of Reconciliation 05 of of of AR etc) Q4 PP&E IPR 1financial account of K US discount (1) (
Slide 36: EBITDA Reconciliation
K Amortization US 1. 2. 3. 4. 5. 6. 7. EBITDA GAAP Net Interest Provision Depreciation GAAP income Reconciliation (1+2-3+4+5+6+7) (KRW expense income (KRW (benefit) (79) (95) of of bn) bn) 9PP&E intangible debt 21 23 35 56 7Q1 for Q1 417 16 628 640 issuance 205 income 18 17 403 05 5(151) (114) Q4 26
Slide 37: EBITDA Reconciliation (Continued)
EBITDA Reconciliation (Continued) EBITDA amortization purposes. measure it those different flows companies. is commonly of from our the depreciation isSpecifically, operating defined competitors, performance of reported debtas issuance activities schedules net our and who of income significant these
Slide 38: LG.Philips LCD makes Technology you can see!
LG.Philips LCD makes Technology you can see!
Slide 39: Signatures
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. LG.Philips LCD Co., Ltd. (Registrant) Date: April 11, 2005 By: /s/ Ron H. Wirahadiraksa (Signature) Nam