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United states
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6‑K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13
a‑16 OR 15d‑16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934

For the month of May 2026

LG Display Co., Ltd.
(Translation of Registrant’s name into English)

LG Twin Towers, 128 Yeoui‑daero, Yeongdeungpo‑gu, Seoul 07336, Republic of Korea
(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20‑F or Form 40‑F.

Form 20‑F X Form 40‑F ____

Indicate by check mark if the registrant is submitting the Form 6‑K in paper as permitted by Regulation S‑T Rule 101(b)(1): ____

Note: Regulation S‑T Rule 101(b)(1) only permits the submission in paper of a Form 6‑K if submitted solely to provide an attached annual report to security holders.

Indicate by check mark if the registrant is submitting the Form 6‑K in paper as permitted by Regulation S‑T Rule 101(b)(7): ____

Note: Regulation S‑T Rule 101(b)(7) only permits the submission in paper of a Form 6‑K if submission to furnish a report or other document that the registration foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and if discussing a material event, has already been the subject of a Form 6‑K submission or other Commission filing on EDGAR.

Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3‑2(b) under the Securities Exchange Act of 1934.

Yes _____ No X

 


 

QUARTERLY REPORT

(From January 1, 2026 to March 31, 2026)

THIS IS A TRANSLATION OF THE QUARTERLY REPORT ORIGINALLY PREPARED IN KOREAN AND IS IN SUCH FORM AS REQUIRED BY THE KOREAN FINANCIAL SUPERVISORY COMMISSION.

IN THE TRANSLATION PROCESS, SOME PARTS OF THE REPORT WERE REFORMATTED, REARRANGED OR SUMMARIZED AND CERTAIN NUMBERS WERE ROUNDED FOR THE CONVENIENCE OF READERS. REFERENCES TO “Q1”, “Q2”, “Q3” AND “Q4” OF A FISCAL YEAR ARE REFERENCES TO THE THREE-MONTH PERIODS ENDED MARCH 31, JUNE 30, SEPTEMBER 30 AND DECEMBER 31, RESPECTIVELY, OF SUCH FISCAL YEAR. REFERENCES TO “W” ARE REFERENCES TO THE KOREAN WON.

UNLESS EXPRESSLY STATED OTHERWISE, ALL INFORMATION CONTAINED HEREIN IS PRESENTED ON A CONSOLIDATED BASIS IN ACCORDANCE WITH KOREAN INTERNATIONAL FINANCIAL REPORTING STANDARDS, OR K‑IFRS, which differ in certain respects from generally accepted accounting principles in certain other countries, including the United States. K‑IFRS also differs in certain respects from the international financial reporting standards as issued by the international accounting standards board. We have made no attempt to identify or quantify the impact of these differences IN THIS DOCUMENT.

Contents

1. Company

A. Name and contact information

B. Credit rating

C. Capitalization

D. Voting rights

E. Dividends

F. Matters relating to Articles of Incorporation

 

2. Business

A. Business overview

B. Industry

C. New businesses

D. Customer-oriented marketing activities

 

3. Major Products and Raw Materials

A. Major products

B. Average selling price trend of major products

C. Major raw materials

 

4. Production and Equipment

A. Production capacity and output

B. Production performance and utilization ratio

C. Investment plan

 

5. Sales

A. Sales performance

B. Sales organization and sales route

C. Sales methods and sales terms

D. Sales strategy

E. Major customers

 

1


 

6. Purchase Orders

 

7. Risk Management and Derivative Contracts

A. Risk management

B. Derivative contracts

 

8. Major Contracts

9. Research & Development

A. Summary of R&D‑related expenditures

B. R&D achievements

 

10. Intellectual Property

11. Environmental and Safety Matters

A. Business environment management

B. Product environment management

C. Safety standards

D. Green management

E. Status of sanctions

 

12. Financial Information

A. Financial highlights (Based on consolidated K‑IFRS)

B. Financial highlights (Based on separate K‑IFRS)

C. Consolidated subsidiaries as of March 31, 2026

D. Status of equity investments in associates as of March 31, 2026

 

13. Audit Information

A. Audit service

B. Non‑audit service

C. Non-audit service by an affiliate of independent auditor

 

14. Management’s Discussion and Analysis of Financial Condition and Results of Operations

 

15. Board of Directors

 

16. Information Regarding Shares

A. Total number of shares

B. Shareholder list

 

17. Directors and Employees

A. Directors

B. Employees

 

18. Other Matters

 

Attachment: 1. Financial Statements in accordance with K‑IFRS

 

 

2

 

 


 

1.
Company
A.
Name and contact information

The name of our company is “EL‑GI DISPLAY CHUSIK HOESA,” which shall be “LG Display Co., Ltd.” in English.

Our principal executive office is located at LG Twin Towers, 128 Yeoui‑daero, Yeongdeungpo‑gu, Seoul 07336, Republic of Korea, and our telephone number is +82‑2‑3777‑1010. Our website address is http://www.lgdisplay.com.

B.
Credit rating

This information is omitted in quarterly reports in accordance with Korean disclosure rules, and we plan to include such information in our semi-annual and annual reports.

C.
Capitalization
(1)
Change in capital stock (as of March 31, 2026)

(Unit: Won, Shares)

Date of Issuance

 

Method of Issuance

 

Details of the Shares Issued

 

 

 

 

Type

 

Number of Shares

 

Par value per Share

 

Offering price per Share

 

Remarks

March 15, 2024

 

Paid-in capital increase (share rights offering to existing shareholders)

 

Common shares

 

142,184,300

 

W 5,000

 

W 9,090

 

Ratio of paid-in capital increase: 39.74%

 

(2)
Convertible bonds (as of March 31, 2026)

We have no outstanding convertible bonds as of March 31, 2026.

D.
Voting rights (as of March 31, 2026)

Description

Number of shares

A. Total number of shares issued(1):

Common shares(1)

500,000,000

Preferred shares

B. Shares without voting rights:

Common shares

Preferred shares

C. Shares subject to restrictions on voting rights pursuant to our articles of incorporation:

Common shares

Preferred shares

D. Shares subject to restrictions on voting rights pursuant to regulations:

Common shares

Preferred shares

E. Shares with restored voting rights:

Common shares

Preferred shares

Total number of issued shares with voting rights (F = A – B – C – D + E):

Common shares

500,000,000

Preferred shares

 

(1)
Authorized: 1,000,000,000 shares

 

3


 

E.
Dividends

Dividends for the three most recent fiscal years

Description (unit)

2026 Q1

 

2025

 

2024

Par value (Won)

5,000

 

5,000

 

5,000

Profit (loss) for the year (million Won)(1)

(570,691)

 

226,312

 

(2,562,606)

Earnings (loss) per share (Won)(2)

(1,141)

 

453

 

(5,438)

Total cash dividend amount for the period (million Won)

 

 

Total stock dividend amount for the period (million Won)

 

 

Cash dividend payout ratio (%)

 

 

Cash dividend yield (%)

Common shares

 

 

-

Preferred shares

 

 

Stock dividend yield (%)

Common shares

 

 

Preferred shares

 

 

Cash dividend per share (Won)

Common shares

 

 

  -

Preferred shares

 

 

Stock dividend per share (share)

Common shares

 

 

Preferred shares

 

 

(1)
Based on profit for the year attributable to the owners of the controlling company.
(2)
Earnings per share is based on par value of W5,000 per share and is calculated by dividing net income by weighted average number of common shares.

 

Historical dividend information(1)

 

Number of consecutive years of dividends(2)

 

Average Dividend Yield(2)

Interim dividends

Annual dividends

 

Last 3 years

Last 5 years

 

0.56

(1)
The historical dividend information has been prepared based on the actual dividends declared for the fiscal years 2021 through 2025.
(2)
The average dividend yield is calculated using the simple arithmetic average method, including the fiscal years in which no dividend was paid (dividends were paid with respect to fiscal year 2021 only based on the dividend resolution date).

 

F.
Matters relating to Articles of Incorporation

This information is omitted in quarterly reports in accordance with Korean disclosure rules, and we plan to include such information in our semi-annual and annual reports.

4


 

2.
Business
A.
Business overview

We were incorporated in February 1985 under the laws of the Republic of Korea. LG Electronics and LG Semicon transferred their respective LCD business to us in 1998, and since then, our business has been focused on the research, development, manufacture and sale of products that apply display technologies such as OLED and TFT‑LCD. Sorting by major sales product category, television, IT products, mobile and other products, and “auto” products (comprising automotive display products) accounted for 16%, 36%, 38% and 10% of our total sales, respectively, in the first quarter of 2026. Our customers primarily consist of global set makers, and our top ten customers comprised 93% of our total sales revenue in the first quarter of 2026. As a company focused on exports, our overseas sales accounted for approximately 95% of our total sales in the first quarter of 2026. We have overseas sales subsidiaries located in the United States, Germany, Japan, Taiwan, China and Singapore.

We operate key production facilities in Korea, China and Vietnam, and our cumulative annual production capacity for the first quarter of 2026 was approximately 0.9 million glass sheets, as converted into eighth-generation sheets (2200x2500mm). In order to expand our production capacity of differentiated and competitive products such as OLED panels, our total capital expenditures on a cash out basis was around W1.4 trillion in 2025. In 2026, we plan to increase our capital expenditures to the mid-to-upper W2 trillion range, representing an increase from the previous year.

The major raw materials for display panel production include glass, semiconductors, polarizers, organic matter, backlight units (“BLU”) and printed circuit boards (“PCB”), and the prices of our raw materials may fluctuate as a result of supply and demand in the market as well as changes in our purchase quantity.

The display industry to which we belong is highly affected by the global economic conditions. Given the characteristics of the display business, which requires large-scale investments, display panel prices may fluctuate due to an imbalance between supply and demand, which may affect our profitability. The sales performance of industry players is differentiated by not only the production capacity of each company but also other competitive differences arising from factors including technology, cost structure, product development capability, manufacturing efficiency, quality control and customer relationships, as well as by differentiation in sales volume and pricing utilizing such factors. In addition, given the high proportion of our sales overseas, our sales of display panels are denominated mainly in U.S. dollars whereas our purchases of raw materials are denominated mainly in U.S. dollars, Japanese Yen and Chinese Yuan. Accordingly, our profit margins may be affected by changes in the exchange rates between the currencies. We strive to minimize the risk relating to foreign currency denominated assets, liabilities and operating cash flow due to exchange rate fluctuations.

Our research and development expenses represent approximately 10% of our sales, and we are continually creating customer value through systematic R&D activities for new products and technologies. Leveraging our competitive R&D activities, we are leading the display market by providing differentiated values in display panel products utilizing our OLED and TFT-LCD technologies for various uses including television, IT, mobile products and automobiles.

Consolidated operating results highlights

(Unit: In billions of Won)

 

 

 

2026 Q1

 

2025

2024

Sales Revenue

 

5,534

 

25,810

26,615

Gross Profit

 

765

 

3,376

2,575

Operating Profit (loss)

 

147

 

517

(561)

Total Assets

 

27,296

 

26,917

32,860

Total Liabilities

 

19,523

 

19,077

24,787

B.
Industry
(1)
Industry characteristics
From the supply perspective, the display panel industry is technology- and capital-intensive in nature and requires mass production through achieving an economy of scale.
From the demand perspective, the display panel industry tends to demonstrate a high level of volatility depending on the global macroeconomic conditions, major regional sales events and/or seasonal factors.
Though the display panel industry is currently facing risks of decreased consumption of related goods in the business-to-consumer sector and reduced investor confidence in the business-to-business sector due to ongoing

 

5

 

 


 

uncertainty in the global macroeconomic environment and rising semiconductor prices driven by the expansion of artificial intelligence (“AI”), there are continued opportunities in the display market to meet changes in consumer lifestyle and specific consumer needs in the mid- to long-term.
In the market for television display panels, while the overall market remains stagnant, the increase of video content (including over-the-top services), expanding uses of television (such as playing video games) and the growth of the ultra-large TV market are expected to create meaningful opportunities for qualitative growth.
In the market for traditional IT products, while risks of price increases and demand slowdown exist primarily in the notebook computers sector due to recent semiconductor supply issues, growth opportunities for new offerings such as gaming products, portable products and AI-integrated technology are expected to exist driven by lifestyle changes.
The growth in the market for smartphone products continues to be concentrated around high value-added products using plastic OLED display panels that offer superior performance through diversification of form factors, low-power consumption and high resolution, in light of the increased use of smartphones for mobile contents and gaming purposes.
In the market for automotive display panels, display panels are increasingly being used in light of the expanded adoption of in-vehicle infotainment systems, and the market is continuing to demonstrate qualitative growth as the demand for larger and higher-resolution display panels continues to increase.
As the market for LCD panel-based products has reached a maturity stage, the growing adoption of OLED panels across various segments, driven by their differentiated performance and form factor advantages, is expected to create new opportunities.
(2)
Growth Potential

The display panel industry is expected to continue to grow, as the essential role of display products as a key device for information and communication in daily lives of individuals as well as for industrial purposes becomes more pronounced. We are strengthening our business competitiveness based on customer value and developing new markets under our strategic plan to transition our business to center around OLED, which has a strong growth potential within the display panel industry. With respect to large-sized display panels, we are focusing on expanding the OLED market through differentiated products and technology, such as META technology, which offers high-resolution and high-luminance, and Tandem WOLED technology, as well as strengthening business with new customers. We are also leading the expansion into new product areas, such as gaming display panels. In the medium-sized display panel business, we are increasing the proportion of premium products such as high resolution and wide screen products based on IPS and oxide technologies, and we are also increasing the use of OLED panels in IT products to improve power consumption and provide differentiated form factors. In the small-sized display panel business, we have secured high value-added and differentiated technology and stable operating capabilities for 6th generation plastic OLED smartphone displays, while also expanding our customer base in the automotive display panels business by providing optimized display solutions featuring high resolution, high refresh rates and high luminance, based on a diverse portfolio of premium products including plastic OLED, advanced thin OLED and LTPS LCD panels. We are also in the process of proactively preparing the technology to respond to new market opportunities for ultra-small-sized displays, including those in relation to augmented reality and virtual reality uses.

(3)
Cyclicality
The display panel business is characterized by being highly cyclical and sensitive to fluctuations in the general economy. The industry may experience volatility caused by imbalances between supply and demand due to changes in capital expenditure levels and adjustments in production utilization rates within the industry.
Macroeconomic factors and other causes of business cycles can affect demand for display panels. Accordingly, if supply exceeds demand, average selling prices of display panels may decrease. Conversely, if market demand outpaces supply, average selling prices may increase.
(4)
Market conditions
Most display panel manufacturers are located in Asia as set forth below. Chinese panel manufacturers are expanding their dominance in the TFT-LCD sector through oligopolization of the market, while also pursuing entry into the medium-sized OLED panel market based on investments in new production facilities. In response,

 

6

 

 


 

Korean panel manufacturers are continuing their efforts to maintain their market leadership by strengthening their OLED-focused business structure and to sustain their differentiated competitiveness through technological advancement in the TFT-LCD sector.
a.
Korea: LG Display, Samsung Display, etc.
b.
Taiwan: AU Optronics, Innolux, etc.
c.
Japan: Sharp, etc.
d.
China: BOE, CSOT, HKC, etc.
Our worldwide market share of large‑sized display panels (i.e., panels that are 9 inches or larger) based on revenue is as follows:

 

 

2026 Q1

 

2025

 

2024

Panels for Televisions(1)(2)

 

7.4%

 

10.4%

 

14.1%

Panels for IT Products(1)

 

15.9%

 

17.6%

 

19.1%

Total(1)

 

11.4%

 

13.4%

 

15.7%

(1)
Source: Large Area Display Market Tracker (OMDIA). Data for 2026 Q1 are based on OMDIA’s estimates, as actual results for 2026 Q1 have not yet been made available as of the date of this report.
(2)
Includes panels for public displays.

 
(5)
Competitiveness and competitive advantages
Our ability to compete successfully depends on factors both within and outside our control, including the development of new and premium products through technological advances, timely investments that achieve profitability, maintaining flexible product portfolio and production facility operations responsive to market conditions, price of our products, competitive production costs, productivity enhancement, our relationship with customers, success in marketing to our end‑brand customers, competitive environment and economic conditions within the industry, and foreign exchange rates.
In order for us to compete effectively, it is critical to offer differentiated products that enable us to secure profit margins even during times of a mismatch in the market supply and demand, to be price- and cost-competitive and to maintain stable relationships with customers.
A substantial portion of our sales is attributable to a limited number of end‑brand customers and their designated system integrators. As such, it is important to build a sustained relationship with such customers.
Developing new products and technologies that can be differentiated from those of our competitors is critical to the success of our business. It is important that we take active measures to protect our intellectual property internationally. It is also necessary to recruit and retain experienced key managerial personnel and skilled line operators.
As a leading technology innovator in the display industry, we continue to focus on delivering differentiated value to our customers by developing various technologies and products, including display panels with WOLED/POLED, IPS, Oxide, in-TOUCH, Tandem and other technologies. With respect to OLED panels, following our supply of the world’s first 55-inch OLED panels for televisions in 2013, we have continued to achieve ongoing technological innovation by continuing to enhance the performance of our products and to offer differentiated large-sized OLED products such as our large-sized gaming OLED products and those incorporating our META technology. Moreover, we have continually introduced and expanded our high value-added plastic OLED products for smartphones, smartwatches and automotive products, along with our advanced thin OLED products, among others. With respect to TFT-LCD panels, we are leading the market with our competitive advantages in technology, including through our IPS, Oxide and LTPS technology-based desktop and notebook monitors featuring high resolutions, differentiated designs and high frequency refresh rates, and specialized products for automotive, commercial and medical uses. Our production facilities are also equipped to produce products incorporating in-TOUCH technology.
Moreover, we are maintaining and strengthening close long-term partnerships with major global firms to secure customers and expand relationships for technology development.

 

 

7

 

 


 

C.
New businesses

For our continued growth, we are actively exploring and preparing for new business opportunities in response to the changing market environment. As such, we are continually reviewing and looking at opportunities in the display and promising new industries.

D.
Customer-oriented marketing activities

Through engaging in detailed analysis and acquiring insight on the market and industry conditions, technology, products and end-user consumers, we seek to provide differentiated values that are customer- and consumer-friendly. In addition, we engage in activities that are geared to proactively identify and offer meaningful benefits to customers and consumers. As a result, we are continually developing products that provide differentiated values using our technologies. At the same time, we strive to create new markets and mutually benefit our business and our customers by obtaining customer trust and satisfaction through our customer- and consumer-oriented marketing activities.

 

 

 

 

8

 

 


 

3.
Major Products and Raw Materials
A.
Major products

We manufacture OLED and TFT‑LCD panels, of which a significant majority is sold overseas.

(Unit: In billions of Won, except percentages)

 

Business area

 

Sales type

 

Items (By product)

 

Usage

 

Major trademark

 

2026 Q1

 

 

 

 

 

 

 

 

 

 

Sales Revenue

 

Percentages (%)

Display

 

Goods/Products/ Services/ Other sales

 

Televisions

 

Panels for televisions

 

LG Display

 

870

 

15.7%

IT products

 

Panels for monitors, notebook computers and tablets

 

LG Display

 

1,997

 

36.1%

Mobile, etc.

 

Panels for smartphones, smartwatches, etc.

 

LG Display

 

2,118

 

38.3%

Auto products

 

Panels for automobiles

 

LG Display

 

549

 

9.9%

Total

 

 

 

 

 

 

 

 

 

5,534

 

100.0%

 

B.
Average selling price trend of major products

The average selling prices of display panels are subject to change based on market conditions and demand by product category. The average selling price of display panels per square meter of net display area shipped in the first quarter of 2026 was USD 1,244, representing a decrease from the previous quarter primarily due to a decline in shipments of small- and medium-sized OLED panels, which carry relatively higher average selling prices per square meter, as a result of seasonal factors. The average selling prices of display panels per square meter of net display area may continually fluctuate in the future due to changes in market conditions, demand trends and our product mix.

 

(Unit: US$ / m2)

 

Period

 

Average Selling Price(1)(2) (in US$ / m2)

2026 Q1

 

1,244

2025 Q4

 

1,297

2025 Q3

 

1,365

2025 Q2

 

1,056

2025 Q1

 

804

2024 Q4

 

873

2024 Q3

 

825

2024 Q2

 

779

2024 Q1

 

782

 

(1)
Quarterly average selling price per square meter of net display area shipped.
(2)
Excludes semi‑finished products in the cell process.

9


 

C.
Major raw materials

Prices of major raw materials depend on fluctuations in supply and demand in the market as well as on changes in size and quantity of raw materials due to the increased production of large‑sized panels.

(Unit: In billions of Won, except percentages)

 

Business area

 

Purchase type

 

Items

 

Usage

 

Cost(1)

 

Ratio (%)

 

Suppliers(2)

Display

 

Raw materials

 

PCB

 

Display panel manufacturing

 

222

 

10.7%

 

Hyunwoo Industrial Co., Ltd., etc.

Polarizers

 

334

 

16.1%

 

Dongwoo Fine-Chem Co., Ltd., etc.

BLU

 

192

 

9.3%

 

Heesung Electronics LTD., etc.

Glass

 

88

 

4.2%

 

Paju Electric Glass Co., Ltd., etc.

Drive IC

 

179

 

8.6%

 

LX Semicon, etc.

Others

 

1,063

 

51.1%

 

-

Total

 

2,078

 

100.0%

 

 

- Period: January 1, 2026 ~ March 31, 2026.

(1)
Based on total cost for purchase of raw materials which includes manufacturing and development costs, etc.
(2)
Among our major suppliers, Paju Electric Glass Co., Ltd. is our affiliate and LX Semicon is an affiliate of LX Holdings Corp.
 
The market prices of main raw materials for display panels fluctuate depending on the global market conditions of raw materials and demand by product segment.

 

The market price of polarizers, which is a main raw material for display panels, decreased by 3% as of March 31, 2026 compared to the end of the previous year.

 

The market price of PCB increased by 1% compared to the end of the previous year. The market prices of drive IC and BLU decreased by 2% and 1%, respectively, as of March 31, 2026, compared to the end of the previous year.

 

Although the global economy in 2026 continues to face ongoing geopolitical risks stemming from the Middle East, including the Iranian war and the blockade of the Strait of Hormuz, as well as uncertainties in oil prices and raw material costs, we aim to optimize our raw material costs compared to the previous year through an improvement in the balance of market supply and demand in the raw materials market and our efforts to strengthen our raw material cost competitiveness. The prices of raw materials may continue to fluctuate in light of changes in the market conditions of such materials.

 

 

4.
Production and Equipment
A.
Production capacity and output
(1)
Production capacity

The table below sets forth the production capacity of our Gumi, Paju and Guangzhou facilities in the periods indicated.

(Unit: 1,000 glass sheets)

 

Business area

 

Items

 

Location of facilities

 

2026 Q1(1)

 

2025(1)(2)

 

2024(1)

Display

 

Display panel, etc.

 

Gumi, Paju, Guangzhou

 

917

 

4,208

 

6,063

(1)
Calculated based on the effective capacity method (based on glass input substrate size for eighth-generation glass sheets) multiplied by daily operating hours, the number of operating days and the efficiency rate.
(2)
As the disposal of our equity interest in LG Display (China) Co., Ltd. was completed on April 1, 2025, the production capacity presented includes such subsidiary’s production capacity through the first quarter of 2025.

 

 

 

10


 

(2)
Production output

The table below sets forth the production output of our Gumi, Paju and Guangzhou facilities in the periods indicated.

(Unit: 1,000 glass sheets)

 

Business area

 

Items

 

Location of facilities

 

2026 Q1(1)

 

2025(1)(2)

 

2024(1)

Display

 

Display panel, etc.

 

Gumi, Paju, Guangzhou

 

858

 

3,914

 

5,656

(1)
Based on the production results (input standard) of each plant converted into eighth-generation glass sheets.
(2)
As the disposal of our equity interest in LG Display (China) Co., Ltd. was completed on April 1, 2025, the production output presented includes such subsidiary’s production output through the first quarter of 2025.
B.
Production performance and utilization ratio

(Unit: Hours, except percentages)

 

Production facilities

 

Available working hours in 2026 Q1

 

Actual working hours in 2026 Q1

 

Average utilization ratio

 

Gumi

 

 

2,160(1)
(24 hours x 90 days)

 

2,064(1)
(24 hours x 86 days)

 

95.6%

 

Paju

 

 

2,160(1)
(24 hours x 90 days)

 

2,160(1)
(24 hours x 90 days)

 

100.0%

 

Guangzhou

 

 

2,160(1)
(24 hours x 90 days)

 

2,160(1)
(24 hours x 90 days)

 

100.0%

(1)
Number of days is calculated by averaging the number of working days for each facility.

 

C.
Investment plan

In 2025, our total capital expenditures on a cash out basis was around W1.4 trillion. In 2026, we plan to increase our capital expenditures to the mid-to-upper W2 trillion range, representing an increase from the previous year. On April 22, 2026, we announced new facility investments related to the enhancement of OLED technology in order to strengthen our technological competitiveness and basis for growth, the details of which are set forth below.

Filing date

 

Title of disclosure

 

Details of disclosure

 

Other references useful for making investment decisions

 

April 22, 2026

 

 

New Facility Investment

 

1. Investment target: New OLED technology infrastructure

2. Investment amount: W1.1 trillion

3. Purpose: To enhance technological competitiveness and strengthen basis for growth through the advancement of OLED technologies

4. Investment period: April 22, 2026 – June 30, 2028

 

The start date of investment period is based on the resolved date of the Board of Directors, and end date of investment period may be subject to change depending on market conditions and the investment progress. In addition, the detailed matters necessary for the execution of this investment have been delegated to our Chief Executive Officer.

 

5.
Sales
A.
Sales performance

(Unit: In billions of Won)

 

Business area

 

Sales types

 

Items (Market)

 

2026 Q1

 

2025

 

2024

Display

Products

 

Display panel

 

Overseas(1)

 

5,238

 

24,613

 

25,496

Korea(1)

 

270

 

954

 

960

Total

 

5,508

 

25,567

 

26,456

Others(2)

 

 

 

Overseas(1)

 

20

 

206

 

112

 

11

 

 


 

 

 

 

Raw materials, components, etc.

 

Korea(1)

 

6

 

37

 

47

Total

 

26

 

243

 

159

Total

 

Overseas(1)

 

5,258

 

24,819

 

25,608

Korea(1)

 

276

 

991

 

1,007

Total

 

5,534

 

25,810

 

26,615

(1)
Based on ship‑to‑party.
(2)
Other sales include royalty sales.
B.
Sales organization and sales route
As of March 31, 2026, each of our television, IT, mobile and auto product businesses had individual sales and customer support functions.
Sales subsidiaries in the United States, Germany, Japan, Taiwan, China and Singapore perform sales activities and provide local technical support to customers.
Sales of our products take place through one of the following two routes:

1) LG Display Headquarters and overseas manufacturing subsidiaries → Overseas sales subsidiaries (USA/Germany/Japan/Taiwan/China/Singapore), etc. → System integrators and end‑brand customers → End users

2) LG Display Headquarters and overseas manufacturing subsidiaries → System integrators and end‑brand customers → End users

Sales performance by sales route

Sales performance

 

Sales route(1)

 

Ratio

Overseas

 

Overseas subsidiaries

 

98.1%

Headquarters

 

1.9%

Overseas sales portion (overseas sales / total sales)

 

95.0%

Korea

 

Overseas subsidiaries

 

35.8%

Headquarters

 

64.2%

Korea sales portion (Korea sales / total sales)

 

5.0%

(1) Percentage by sales route is based on revenue from the Display business segment.

C.
Sales methods and sales terms
Direct sales and sales through overseas subsidiaries, etc. Sales terms are subject to change depending on the fluctuation in the supply and demand.
D.
Sales strategy
With respect to television display products, we are strengthening our competitive advantages in the premium television display market by enhancing the performance of our OLED television display panels and advancing both product and technology sophistication levels, while also working towards strengthening our business portfolio and securing sustainable profitability through the expansion of our OLED-based gaming monitor business.
With respect to IT display products, we are continually strengthening the sales of high‑resolution, IPS, narrow bezel and other high‑end display panels with major global IT product manufacturers as our primary customer base.
With respect to mobile and other products (a wide range of products including smartphones, smartwatches and industrial products (including aviation and medical equipment, among others)), we are continuing to build a strong and diversified business portfolio and expand our global customer base by leveraging the strength of our differentiated technology and products such as OLED, narrow bezel, low-power consumption and thin and light features.
With respect to automotive display products, our business is steadily growing on the back of stable orders secured through our ability to deliver differentiated value to global automobile manufacturers leveraging our diversified technology and product portfolio that includes plastic OLED, advanced thin OLED and LTPS LCD panels.

 

12

 

 


 

E.
Major customers
Customers “A” and “B” each accounted for more than 10% of our sales revenue in the first quarter of 2026. Sales revenue generated from Customer “A” amounted to W3,231 billion in the first quarter of 2026 and W3,182 billion in the first quarter of 2025, and sales revenue generated from Customer “B” amounted to W696 billion in the first quarter of 2026 and W851 billion in the first quarter of 2025. In addition, sales revenue derived from our top ten customers comprised 93% of our total sales revenue in the first quarter of 2026 and 90% in the first quarter of 2025.
6.
Purchase Orders
We supply some of our products in accordance with the production plans of automobile manufacturers. However, the volume of our supply is subject to fluctuation depending on the customers’ actual order volume and future market conditions, and it is not possible to accurately predict the changes in demand resulting from changes in the domestic and global economic environment. Moreover, as of March 31, 2026, we do not have purchase order contracts that recognize revenue by measuring progress towards satisfaction of performance obligation by using the cost-based input method.
7.
Risk Management and Derivative Contracts
A.
Risk management
(1)
Major market risks

Our business is exposed to credit risk, liquidity risk and market risk. Accordingly, we operate a risk management system that identifies and analyzes these risks while monitoring and managing risk level by establishing appropriate risk controls in order to ensure that such risks do not exceed certain threshold levels.

See Note 24 to our consolidated financial statements attached hereto for more information regarding our exposure to each of the risks listed above.

(2)
Risk management method

 

In order to manage our risk against foreign currency fluctuations, we eliminate such risk by adopting a policy of maintaining our net exposure risk within an acceptable level by buying or selling foreign currencies at spot rates, when necessary, to address short-term imbalances in the inflow and outflow of foreign currency funds. We also continually monitor our currency position and risk for other monetary assets and liabilities denominated in foreign currencies, and when needed, we may from time to time enter into cross‑currency interest rate swap contracts and foreign currency forward contracts. Furthermore, we have adopted a policy aimed at minimizing uncertainty and financial costs arising from interest rate fluctuations and manage our interest rate risk through periodic monitoring of interest rate trends and adoption of appropriate countermeasures.

B.
Derivative contracts
(1)
Currency risks

 

We are exposed to currency risks on sales, purchases and borrowings that are denominated in currencies other than in Won, our functional currency. These currencies are primarily the U.S. dollar and the Japanese Yen.
Interest on borrowings is denominated in the currency of the borrowing. Generally, borrowings are denominated in currencies that match the cash flows generated by our underlying operations, primarily in Won, the U.S. dollar and the Chinese Yuan.
As of the end of the reporting period, in order to avoid risks of exchange rate fluctuations on the fair value of advance received, we entered into an aggregate of USD 1,445 million, CNY 1,740 million cross currency interest swap agreements with Shinhan Bank and others, for which we have not applied hedge accounting. Any rights or obligations arising from derivative contracts that do not apply hedge accounting are measured at fair value and are accounted for as assets and liabilities, whereas any resulting valuation gain or loss is recognized as profit or loss at the time such valuation gain or loss is incurred. We recognized a gain on valuation of derivative instruments in the amount of W122 billion with respect to the above foreign exchange derivative instruments held during the reporting period.
(2)
Interest rate risks

 

13

 

 


 

 

Our exposure to interest rate risks relates primarily to our floating rate long-term loan obligations. We have established and are managing interest rate risk policies to minimize uncertainty and costs associated with interest rate fluctuations by monitoring cyclical interest rate fluctuations and enacting countermeasures.
As of the end of the reporting period, we entered into interest rate swap agreements with KEB Hana Bank and others in an aggregate of W2,030 billion and USD 250 million, for which we have not applied hedge accounting. We recognized a gain on valuation of derivative instruments in the amount of W17 billion with respect to our interest rate derivative instruments held during the reporting period.

 

14

 

 


 

8.
Major Contracts

Our material contracts, other than contracts entered into in the ordinary course of business, are set forth below:

Type of agreement

 

Name of party

 

Term

 

Content

Technology licensing/

supply agreement

 

Hewlett‑Packard

 

January 2011 ~

 

Patent licensing of semi‑conductor device technology

Ignis Innovation, Inc.

 

July 2016 ~

 

Patent licensing of OLED related technology

Hannstar Display Corporation

 

December 2013 ~

 

Patent cross‑licensing of LCD technology

AU Optronics Corporation

 

August 2011 ~

 

Patent cross‑licensing of LCD technology

Innolux Corporation

 

July 2012 ~

 

Patent cross‑licensing of LCD technology

Universal Display Corporation

 

January 2015 ~ December 2030

 

Patent licensing of OLED related technology

Semiconductor Energy Laboratory

 

January 2021 ~ December 2030

 

Patent licensing of LCD and OLED related technology

 

 

 

 

 

 

 

Real estate/others

 

LG Innotek Co., Ltd.

 

Date of contract: December 23, 2022

Term: December 26, 2022 ~ December 31, 2027

 

Lease of idle real estate property for rental income (the contract amount and other details are not disclosed in accordance with a non-disclosure agreement)

LG Uplus Corp.

 

Date of contract: May 14, 2024

 

Sale of real estate property to enhance asset efficiency (for details, please refer to the Form 6-K furnished to the SEC on April 25, 2024)

 

9.
Research & Development (“R&D”)
A.
Summary of R&D‑related expenditures

(Unit: In millions of Won, except percentages)

 

Items

 

2026 Q1

 

2025

 

2024

R&D Expenditures (prior to deducting governmental subsidies)

 

574,434

 

2,211,369

 

2,237,403

Governmental Subsidies

 

(62)

 

(625)

 

(705)

Net R&D‑Related Expenditures

 

574,372

 

2,210,744

 

2,236,698

Accounting Treatment(1)

R&D Expenses

 

478,852

 

1,668,306

 

1,687,315

Development Cost (Intangible Assets)

 

95,520

 

542,438

 

549,383

R&D‑Related Expenditures / Revenue Ratio(2)
(Total R&D‑Related Expenditures
 Revenue for the period × 100)

 

10.4%

 

8.6%

 

8.4%

(1)
For accounting treatment purposes, R&D expenses are presented as research and development expenses in our statements of comprehensive income, net of amortization of capitalized intangible asset development costs.
(2)
Calculated based on the R&D-related expenditures before subtracting government subsidies (state subsidies).

15


 

B.
R&D achievements
Achievements in 2023
(1)
Developed the world’s first small- and medium-sized transparent WOLED product (30” HD)
Expanded market coverage with the development of a new product size (30”) for transparent small- and medium-sized display
Strengthened market leadership through achieving a transparency rate of 45% and increased luminance (600/200 nit)
(2)
Introduced the world’s first foldable pen touch notebook (17”)
Developed OLED panel for notebooks utilizing differentiated technologies such as the tandem OLED and a special folding structure
(3)
Developed the world’s first Gaming OLED 240Hz monitor product (39”, 34”)
Applied high-speed (240Hz), fast response time (0.03ms), high-luminance (275 nit @APL 100%) and curved (800R) OLED technology
Provided ultra-wide (21:9 aspect ratio) full-size OLED Gaming monitor product (initially provided in 45” and expanded further to provide 39” and 34” products)

 

Achievements in 2024
(1)
Developed the world’s first Gaming DFR product (31.5”)
Optimized display through applying DFR (Dynamic Frequency & Resolution) technology, which enables the implementation of high resolution (UHD 240Hz) and high refresh rate (FHD 480 Hz) on a single display panel
Maximized sound effects by applying d-TAS (Display Thin Accurator)
(2)
Developed the world’s first Gaming OLED QHD 480Hz monitor product (27”)
Provided optimal gaming environment with the development of the world’s first OLED QHD 480Hz high refresh rate monitor product
(3)
Developed our first ATO-based notebook panel (13.4”)
Developed Slim & Light product (1.16t / 162g) through the application of advanced thin OLED structure
Developed high-efficiency OLED notebook panel product (SDR 400nit / HDR 500nit) utilizing Tandem OLED technology
Became our first notebook panel model to apply Touch on Encap technology
(4)
Developed our first Dual Resolution Gaming monitor product (27”)
Expanded the gaming monitor market and provided differentiated user experience by implementing the Dual Resolution feature
Enabled the use of a single monitor for both fast-paced (FHD 330Hz) games and high-resolution (UHD 165Hz) games

* Dual Resolution : UHD 165Hz ↔ FHD 330Hz

(5)
Developed next-generation Micro LED display product (22.3”)
Provided a large-screen and high-resolution, new user experience through Active Matrix Micro LED transfer technology, panel technology, compensation technology and mechanical technology

1) 22.3” Module for 136” 4K business-to-consumer products

2) 22.3” Module for infinitely expandable business-to-business products

(6)
Developed the world’s first ultra-large high resolution transparent OLED display product (77”)
Developed new television models and lifestyle solutions with ultra-large, high-resolution displays with 45% transparency
(7)
Developed the world’s first large-sized WOLED product based on 4-Stack technology (83/77/65/55/48” 4K television displays)
Strengthened the competitiveness of our WOLED flagship models by applying the 4-Stack technology to large-sized WOLED display panels for the first time in the industry
Improved customer value by delivering premium picture quality (luminance, color reproduction, and high-speed) while enhancing cost competitiveness

16


 

Established a foundation for market expansion by strengthening the potential to expand into the new high-end monitor market

 

Achievements in 2025
(1)
Developed the world’s first 45WUHD 165Hz Gaming OLED product
Optimized display based on intended use through applying DFR (Dynamic Frequency & Resolution) technology, which enables the implementation of high resolution (WUHD 165Hz) and high refresh rate (WFHD 330Hz) on a single display panel
Enhanced gaming immersion through the application of an 800R Curved display
(2)
Developed the world’s first medium-sized OLED notebook panel product based on low-temperature polycrystalline oxide (“LTPO”) and Tandem technology (14”)
Developed Tandem OLED product with low power consumption and variable refresh rate based on LTPO technology
Developed a medium-sized OLED display product with low power consumption to lead the high-end notebook computers market
(3)
Developed our first 8.5th-generation large-sized automotive display panel product using oxide technology (38.9”)
Developed P2P (Pillar-to-Pillar, full dashboard) products for automotive applications using new oxide semiconductor technology to ensure high reliability
Expanded automotive LCD panel production to the 8.5th-generation line in addition to the existing 6th-generation line
(4)
Introduced the Double Rate Driving (“DRD”) platform for the first time in large-sized OLED television products and developed cost-innovative products (77/65/55/48”)
Secured cost competitiveness and established a foundation for a sustainable profitability structure through structural innovation of our V26 products based on the DRD platform, incorporating DRD, New ASIC (application-specific integrated circuit) and New META POL (polarizing panel) technologies
Strengthened competitiveness in expanding business applications by concurrently deploying Special Edition models based on the DRD platform
(5)
Developed the world’s first 27” QHD 540Hz (DFR 720Hz) OLED monitor product
Achieved the highest level refresh rate (HD 720Hz) and response time (0.02ms, G-to-G) for OLED through the application of DFR technology, delivering smooth motion and an immersive gaming experience
(6)
Developed the world’s first large-sized, high-resolution IPS curved monitor product (51.5”)
Maintained our leadership in the high-end product market through the development of the world’s first large-sized IPS curved monitor product
Achieved enhanced profitability and differentiation through the development of new components, structural and process changes and the application of cost-efficient materials
(7)
Developed the world’s first 1Hz low-power notebook display product (14”, 16”)
Maintained our leadership in the high-end product market through development of the world’s first 1Hz product featuring low power consumption, slim design and three-sided borderless design
Enhanced VHR (Variable High Refresh Rate) performance at 1Hz through the application of newly developed materials (liquid crystal and polyimide) and advanced panel design technology, along with flicker reduction circuit algorithms
Achieved further power efficiency through low-power circuit algorithms and high-efficiency BLU technology
Enhanced slim design competitiveness through the development of new slim circuit components, including PCBs, semiconductor components and CNT (Carbon Nanotube) materials

 

10.
Intellectual Property

As of March 31, 2026, our cumulative patent portfolio (including patents that have already expired) included 32,014 patents in Korea and 39,318 patents in other countries. In 2026, we registered 369 patents in Korea and 630 patents in other countries.

 

 

17

 

 


 

11.
Environmental and Safety Matters

In order to minimize the environmental impact of our business activities, we are actively responding to environmental regulations applicable to our products and business sites.

 

A.
Business environment management

We have installed and operate various types of prevention facilities to minimize the emission of environmental pollutants generated in our production process. With respect to air and water pollutants, we set and manage our internal standard at 70% of the permitted levels under the regulatory emission standards. In addition, in order to establish a resource circulation system, we operate a proprietary system to monitor waste from its generation to treatment, have developed waste treatment technology and identified suitable recycling companies to reduce the amount of waste we generate and maximize recycling.

 

In addition, as we were designated a target company for the greenhouse gas emission trading system in 2015, we allocate and monitor our greenhouse gas emissions every year. In order to continually promote the reduction of greenhouse gas emissions, we have set a medium- to long-term goal to reduce the emission level by continually investing in facility improvements and monitoring our emission levels.

 

We are subject to a variety of environmental laws and regulations, and operations at our manufacturing plants are subject to regulation and periodic scheduled and unscheduled on‑site inspections by the Ministry of Environment and local environmental protection authorities. The primary types of environmental laws applicable to us include the following:

 

(1)
Environmental pollutant emission regulations: Integrated Control of Pollutant-discharging Facilities Act, Clean Air Conservation Act, Water Quality Conservation Act, Wastes Control Act, Environmental Impact Assessment Act, etc.

 

(2)
Greenhouse gas emission management: Framework Act on Carbon Neutral and Green Growth to Respond to Climate Crisis, Act on the Allocation and Trading of Greenhouse Gas Emission Permits, etc.

 

(3)
Other workplace environment management: Chemicals Control Act, Chemicals Registration and Evaluation Act, Soil Environment Conservation Act, etc.

 

Through the implementation of an environmental and energy management system, we are continuously making efforts to minimize environmental impact and reduce energy usage in all aspects of our business process. Accordingly, we have acquired and currently operate the environmental management system ISO14001 and energy management system ISO 50001 certifications for all of our domestic and overseas production sites. In addition, we have established company-wide safety, healthy, energy and environment management policies and manuals, which are regularly updated based on international standards. We also conduct systematic management of our business process in accordance with international standards through annual follow-up and renewal audits.

We have been participating in the Carbon Disclosure Project (“CDP”), a globally recognized authority on environmental disclosure, and named to the Honors Club in the IT category of the Climate Change Korea Awards for ten consecutive years from 2016 to 2025. The ‘Carbon Management Sector Honors’ is awarded to top-performing companies by industry sector based on the results of the CDP Climate Change assessment. We received a Leadership A- rating, which is one of the higher rating categories in the assessment, in key areas including greenhouse gas reduction and management efforts, advancement of climate change response scenarios and expansion of renewable energy utilization. In addition, we achieved a Leadership A rating, which is among the highest rating categories, in the CDP Water Security assessment, in recognition of our systematic management efforts, including the expansion of actual water reuse and the transparent public disclosure of our water resource data management performance.

In addition, in recognition of our efforts to improve recycling rates and reduce waste, we were nominated as a leading company with an excellent performance in resource circulation and received a commendation from the Minister of Environment in 2020. In 2022, we achieved the Gold rating for Zero Waste to Landfill (“ZWTL”) for our Paju and Gumi facilities and the Platinum rating for our Nanjing facility. Through ongoing efforts to improve our recycling rate, our Paju facility achieved a Platinum rating for the first time in June 2024 and our Guangzhou facility achieved a Platinum rating for the first time in December 2024. Subsequently, our Gumi facility achieved a Platinum rating for the first time in July 2025, while our Paju facility maintained its Platinum rating following the reassessment in July 2025. In November 2025, we achieved the Gold rating for our Vietnam facility, completing ZWTL certification for all of our production sites. In 2022, we introduced a resource recirculation recognition program in accordance with the Korean government’s waste management policy and received circular resource certification on eight types of our discarded trays and vinyl. In 2023, we have obtained quality certification for certain of our recycled items recognized as circular resources, and we plan to continue to promote the resource circulation of our products. We will continue our efforts to reinforce our resource circulation program by minimizing waste and maximizing recycling rate.

 

18

 

 


 

We have continued to pursue ESG management activities based on the spirit of “value creation for consumers” and “human-first management,” and we plan to obtain further recognition for our eco-friendly management and share relevant information with the stakeholders.

B.
Product environment management

In order to respond to applicable domestic and overseas environmental regulations, such as the European Union’s Restriction of Hazardous Substances (RoHS) and Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH) that restrict the use of certain hazardous substances, we operate a hazardous substance management program that implements a four-step procedure (each such step, a “Gate”) that manages various stages of our production cycle, beginning with the registration process of our business partners up to the mass production stage. In addition, in order to preemptively address four types of phthalate substances that became additionally regulated pursuant to the RoHS in 2016 and officially went into effect on July 22, 2019, we replaced the latent risk elements in advance as well as implemented a more stable management process with respect to such substances. In implementing this process, we collaborated with external agencies to ascertain regulatory trends and establish our response strategy, and we formulated and applied effective management measures through the collaborative efforts of our development, procurement, quality assurance and analysis teams.

- Gate 01 (Business Partner Stage): An audit is conducted prior to the registration of a new business partner (including the inspection of the business partner’s hazardous substance response process)

- Gate 02 (Parts Development Stage): An environmental evaluation of each part under development is conducted (consisting of three stages: (1) document review; (2) XRF test and (3) precision analysis)

- Gate 03 (Product Development Stage): An environmental evaluation of the product model and product labeling are conducted (including RoHS verification)

- Gate 04 (Mass Production Stage): Process management through the periodic testing of mass-produced parts for any hazardous substances (including rate-based tests based on risk assessment)

We operate a “Hazardous Substance Management System for Products” that effectively manages hazardous substances by classifying them into four levels: A-I, A-II, B-I, and B-II. In particular, in addition to substances prohibited by global hazardous substance regulations on products, we have designated substances causing harm to the human body and the environment as Level B substances. By developing alternative technologies and parts and applying them to our products, we continually strive to achieve a gradual reduction and elimination of non-prohibited hazardous substances.

- Level A-I (Prohibited Substances): Prohibited substances designated under the RoHS regulations (i.e., 10 regulated substances) and those designated by specific customers

- Level A-II (Prohibited Substances): Substances prohibited by regulations and conventions other than those covered under Level A-1 and those designated as such by customers

- Level B-I (Substances Subject to Voluntary Reduction): Substances that are being voluntarily replaced over a certain period of time

- Level B-II (Substances Under Observation): Substances that are not currently banned, but are expected to become prohibited in the future

Moreover, we participated in reforming IEC 62321, an international testing standard published by the International Electrotechnical Commission and used by RoHS, and the commission adopted our halogen‑free combustion ion chromatography method as IEC 62321‑3‑2, which was published in June 2013.

In 2017, we became the first display panel company to receive the SGS Eco Label accreditation for OLED television display modules from SGS, a global product testing/accreditation agency, and have since continually received such accreditation. In 2024, such accreditation has been updated to “SGS EEPS accreditation.” In 2022, we expanded our accreditation program to cover display modules for monitors, notebook computers, tablets and automobiles, as a result of which our display modules for monitors and notebook computers received SGS Eco Label accreditation for the first time and our automotive display module became the first in the industry to receive the same accreditation for its excellence in energy efficiency, and we have since maintained the SGS Eco Label for such products. In 2023, our high-end LCD panels for 16-inch notebooks and 27-inch monitors, in which we incorporated recycled materials for the first time, received the SGS Eco Label accreditation. In addition, our 30-inch and 55-inch transparent display products, for which we applied hazardous substance reduction technology, became the first in the industry to receive the SGS Eco Label accreditation.

Moreover, in 2022, our 27-inch monitor display product that applied anti-bacterial films received the SGS Performance Mark accreditation for its anti-bacterial performance, and in 2023, our commercial display module that applied Plus-Bright energy

 

19

 

 


 

consumption reduction technology obtained the SGS Performance Mark accreditation for its energy efficiency performance. Our high-end LCD panels for 16-inch notebooks and 27-inch monitors also received the same accreditation for reducing energy consumption through the implementation of proprietary algorithms and improving panel transmittance. In 2025, we enhanced and replaced PFAS-containing components in our 14-inch LCD panels for notebook computers, and as a result, obtained the SGS ECCS Mark – PFAS Screened accreditation.

Also in 2022, upon assessment and verification of GHG emissions throughout its entire product life cycle, our OLED television panel received the industry’s first Carbon Footprint Certification from The Carbon Trust, a not-for-profit company founded by the United Kingdom government that provides voluntary carbon certification services and carbon labeling schemes. In 2023, our high-end IT LCD panels (27-inch and smaller) received the Product Carbon Footprint (PCF) certification from TÜV Rheinland, a global independent testing, inspection and certification agency, by achieving carbon emission reduction through the application of recycled materials and low energy consumption technologies. Our OLED panels for automotive products also received the same certification for achieving carbon emission reduction through the application of light-control film integration technology. In 2024, our 14-inch high-end LCD panel product for notebook computers received the Product Carbon Footprint Reduction (PCR) certification from TÜV Rheinland through the application of bio-plastic, recycled materials and ultra-precision micro-processing technology. Additionally, upon verification by Underwriters Laboratories (UL), a global inspection and certification agency, such display panel also received the Environmental Claim Validation (ECV) certification. In 2025, we obtained the “Product Carbon Footprint Methodology” certification from TÜV Rheinland reflecting our establishment of a system to calculate carbon emissions generated throughout the entire product life cycle based on international standards and our proprietary evaluation methodology optimized for display panels, as well as an IT system for evaluating product carbon footprints.

In 2021, we received the “Green Technology Certification” for our advanced incell touch display technology, an eco-friendly technology with touch-sensing electrodes and transmission lines that reduce carbon emissions and the use of rare metals. Also, since 2021, we have continued to obtain an eco-friendly certification from TUV SUD, a globally recognized accreditation agency based in Germany, for excellence in resource circulation and compliance with Waste Electrical and Electronic Equipment (WEEE) regulations and the non-use of specific hazardous substances in our OLED television display panels, plastic OLED mobile and smartwatch display products, OLED tablet display panels and TFT-LCD panels for IT products.

In 2018, we became the first display panel company to receive the “Green Technology Certification” from the Korean Ministry of Science and ICT for improving the light efficiency technology of OLED to promote energy use reduction. In 2017, for the IPS Nano Color for LCD, we received the Quality & Performance Mark from Intertek, a global product testing/accreditation agency, by applying a technology to eliminate cadmium (Cd) and indium phosphide (InP).

C.
Safety standards

Our products comply with the IEC 62638-1 global product safety standards, and we obtain CB and UL certifications on applicable products.

In order to promote the enhancement of safety for automobile manufacturers and consumers, we became the first display panel company in June 2016 to introduce a flame-resistant certification program for our display panels, which program includes flame resistance standards for automotive materials (including ISO 3795, DIN 75200 and FMVSS 302 standards) as well as for safety standards for information technology devices, which has been certified by TUV SUD. In 2025, we expanded the number of applicable flame resistance standards for such program from 9 to 14.

Furthermore, in 2021, we established infrastructure for flammability tests required under the United States Federal Aviation Administration’s FAR 25.853 standards and impact tests under RTCA DO-313 standards, and the reliability of these test results have been certified by TUV SUD.

D.
Green management

This information is omitted in quarterly reports in accordance with Korean disclosure rules, and we plan to include such information in our semi-annual and annual reports.

E.
Status of sanctions

This information is omitted in quarterly reports in accordance with Korean disclosure rules, and we plan to include such information in our semi-annual and annual reports.

 

 

20

 

 


 

12.
Financial Information
A.
Financial highlights (Based on consolidated K‑IFRS).

(Unit: In millions of Won)

 

Description

 

As of March 31, 2026

 

As of December 31, 2025

 

As of December 31, 2024

Current assets

 

7,145,455

 

6,982,077

 

10,123,037

   Quick assets

 

4,358,544

 

4,436,411

 

7,451,795

   Inventories

 

2,786,911

 

2,545,666

 

2,671,242

Non‑current assets

 

20,150,201

 

19,934,623

 

22,736,529

   Investments in equity accounted investees

 

33,770

 

36,506

 

33,177

   Property, plant and equipment, net

 

14,288,983

 

14,470,776

 

17,202,873

   Intangible assets

 

1,847,286

 

1,478,035

 

1,558,407

   Other non‑current assets

 

3,980,162

 

3,949,306

 

3,942,072

Total assets

 

27,295,656

 

26,916,700

 

32,859,566

Current liabilities

 

9,715,198

 

9,596,471

 

15,859,084

Non‑current liabilities

 

9,807,325

 

9,480,991

 

8,927,675

Total liabilities

 

19,522,523

 

19,077,462

 

24,786,759

Share capital

 

2,500,000

 

2,500,000

 

2,500,000

Share premium

 

2,740,811

 

2,740,811

 

2,773,587

Retained earnings

 

(292,676)

 

281,912

 

(18,512)

Other equity

 

1,511,238

 

1,081,401

 

995,823

Accumulated other comprehensive income held for sale

 

 

 

291,363

Non‑controlling interest

 

1,313,760

 

1,235,114

 

1,530,546

Total equity

 

7,773,133

 

7,839,238

 

8,072,807

 

 

(Unit: In millions of Won, except for per share data and number of consolidated entities)

 

Description

 

For the three months ended March 31, 2026

 

For the year ended December 31, 2025

 

For the year ended December 31, 2024

Revenue

 

5,534,002

 

25,810,082

 

26,615,347

Operating profit (loss)

 

146,719

 

516,977

 

(560,596)

Profit (loss) from continuing operations

 

(575,714)

 

303,807

 

(2,409,300)

Profit (loss) for the period

 

(575,714)

 

303,807

 

(2,409,300)

Profit (loss) attributable to:

 

 

 

 

 

 

Owners of the company

 

(570,691)

 

226,312

 

(2,562,606)

Non‑controlling interest

 

(5,023)

 

77,495

 

153,306

Basic earnings (loss) per share

 

(1,141)

 

453

 

(5,438)

Diluted earnings (loss) per share

 

(1,141)

 

453

 

(5,438)

Number of consolidated entities(1)(2)

 

20

 

20

 

22

(1)
The number of consolidated entities is based on the consolidated entities (including the parent company) as of the end of the reporting period.
(2)
The disposal of our equity interests in LG Display (China) Co., Ltd. and LG Display Guangzhou Co., Ltd. was completed on April 1, 2025, and these entities were excluded from the scope of our consolidated subsidiaries as of such date
B.
Financial highlights (Based on separate K‑IFRS).

(Unit: In millions of Won)

 

Description

 

As of March 31, 2026

 

As of December 31, 2025

 

As of December 31, 2024

Current assets

 

5,400,874

 

5,517,131

 

8,647,395

Quick assets

 

3,429,440

 

3,723,621

 

6,860,717

Inventories

 

1,971,434

 

1,793,510

 

1,786,678

 

21

 

 


 

Non‑current assets

 

19,289,785

 

19,293,991

 

21,151,656

Investments

 

3,810,413

 

3,810,085

 

3,939,474

Property, plant and equipment, net

 

9,984,431

 

10,298,784

 

11,913,336

Intangible assets

 

1,721,480

 

1,427,602

 

1,485,789

Other non‑current assets

 

3,773,461

 

3,757,520

 

3,813,057

Total assets

 

24,690,659

 

24,811,122

 

29,799,051

Current liabilities

 

15,678,812

 

15,506,468

 

20,865,495

Non‑current liabilities

 

5,889,553

 

5,532,949

 

5,137,758

Total liabilities

 

21,568,365

 

21,039,417

 

26,003,253

Share capital

 

2,500,000

 

2,500,000

 

2,500,000

Share premium

 

2,821,006

 

2,821,006

 

2,821,006

Retained earnings

 

(2,198,712)

 

(1,549,301)

 

(1,525,208)

Other equity

 

0

 

0

 

0

Total equity

 

3,122,294

 

3,771,705

 

3,795,798

 

(Unit: In millions of Won, except for per share data)

 

Description

 

For the three months ended March 31, 2026

 

For the year ended December 31, 2025

 

For the year ended December 31, 2024

Revenue

 

5,228,527

 

24,115,926

 

25,178,688

Operating profit (loss)

 

(101,052)

 

(624,135)

 

(1,800,625)

Profit (loss) from continuing operations

 

(645,514)

 

(98,205)

 

(3,034,736)

Profit (loss) for the period

 

(645,514)

 

(98,205)

 

(3,034,736)

Basic earnings (loss) per share

 

(1,291)

 

(196)

 

(6,440)

Diluted earnings (loss) per share

 

(1,291)

 

(196)

 

(6,440)

 

C.
Consolidated subsidiaries (as of March 31, 2026)

Company Interest

 

Primary Business

 

Location

 

Equity

LG Display America, Inc.

 

Sales

 

U.S.A.

 

100%

LG Display Germany GmbH

 

Sales

 

Germany

 

100%

LG Display Japan Co., Ltd.

 

Sales

 

Japan

 

100%

LG Display Taiwan Co., Ltd.

 

Sales

 

Taiwan

 

100%

LG Display Nanjing Co., Ltd.

 

Manufacturing

 

China

 

100%

LG Display Shanghai Co., Ltd.

 

Sales

 

China

 

100%

LG Display Shenzhen Co., Ltd.

 

Sales

 

China

 

100%

LG Display Singapore Pte. Ltd.

 

Sales

 

Singapore

 

100%

L&T Display Technology (Fujian) Limited

 

Manufacturing and sales

 

China

 

51%

LG Display Yantai Co., Ltd.

 

Manufacturing

 

China

 

100%

Nanumnuri Co., Ltd.

 

Managing welfare facilities

 

Korea

 

100%

Unified Innovative Technology, LLC

 

Managing intellectual property

 

U.S.A.

 

100%

LG Display Guangzhou Trading Co., Ltd.

 

Sales

 

China

 

100%

Global OLED Technology LLC

 

Managing intellectual property

 

U.S.A.

 

100%

LG Display Vietnam Haiphong Co., Ltd.

 

Manufacturing and sales

 

Vietnam

 

100%

Suzhou Lehui Display Co., Ltd.

 

Manufacturing and sales

 

China

 

100%

LG Display Fund I LLC(1)

 

Investing in new emerging companies

 

U.S.A

 

100%

LG Display High-Tech (China) Co., Ltd.

 

Manufacturing and sales

 

China

 

70%

(1) During the three months ended March 31, 2026, we invested an additional W328 million into LG Display Fund I LLC. There was no change in our ownership interest in this subsidiary in connection with the additional investment.

 

D.
Status of equity investments in associates (as of March 31, 2026)

Company

 

Carrying Amount (in millions)

 

Equity Interest

Paju Electric Glass Co., Ltd.

 

W 28,661

 

40%

Arctic Sentinel, Inc.

 

-

 

10%

Cynora GmbH

 

-

 

10%

Material Science Co., Ltd.

 

W 5,109

 

9%

 

 

22

 

 


 

 

Although our respective share interests in Arctic Sentinel, Inc., Cynora GmbH and Material Science Co., Ltd. are below 20%, we are able to exercise significant influence through our right to appoint a director to the board of directors of each investee. Accordingly, the investments in these investees have been accounted for using the equity method.

 

For the three months ended March 31, 2026 and 2025, the aggregate amount of dividends we received from our affiliated companies was W3,415 million and W1,664 million, respectively.

 

 

23

 

 


 

13.
Audit Information
A.
Audit service

(Unit: In millions of Won, hours)

 

Description

 

2026 Q1

 

2025

 

2024

Auditor

 

Samil PwC

 

Samil PwC

 

Samil PwC

Activity

 

Audit by independent auditor

 

Audit by independent auditor

 

Audit by independent auditor

Compensation(1)

 

1,689 (861)(2)

 

1,898 (602)(2)

 

1,800 (650)(2)

Time required(3)

 

1,352

 

18,935

 

23,088

(1)
Compensation amount is the contracted amount for the full fiscal year.
(2)
Compensation amount in ( ) is for Form 20‑F filing and SOX 404 audit.
(3)
Figures are based on actual performance as of the date of this report.

 

B.
Non‑audit service

 

Period

 

Date of contract

 

Description of service

 

Period of service

 

Compensation

2026 Q1

 

 

 

 

2025

 

June 2025

 

Tax advice

 

June 2025 ~ December 2025

 

W50 million

 

September 2025

 

Tax advice

 

October 2025 ~ March 2026

 

W40 million

2024

 

February 2024

 

Tax advice

 

March 2024 ~ December 2024

 

W50 million

September 2024

 

Tax advice

 

September 2024 ~ March 2025

 

W40 million

* Based on direct contracts on a separate basis.

 

C.
Non‑audit service by an affiliate of independent auditor

 

Period

 

Name of affiliate

 

Date of contract

 

Description of service

 

Period of service

 

Compensation

2026 Q1

 

Samil PwC Solution

 

January 2026

 

Tax advice

 

January 2026 ~
 December 2026

 

W1.6 million

2025

 

Samil PwC Solution

 

January 2025

 

Tax advice

 

January 2025 ~
 December 2025

 

W1.6 million

2024

 

 

 

 

 

 

 

14.
Management’s Discussion and Analysis of Financial Condition and Results of Operations

This information is omitted in quarterly and semi-annual reports in accordance with Korean disclosure rules, and we plan to include such information in our annual report.

15.
Board of Directors

This information is omitted in quarterly reports in accordance with Korean disclosure rules, and we plan to include such information in our semi-annual and annual reports.

 

24

 

 


 

16.
Information Regarding Shares
A.
Total number of shares
(1)
Total number of shares authorized to be issued (as of March 31, 2026): 1,000,000,000 shares.
(2)
Total shares issued and outstanding (as of March 31, 2026): 500,000,000 shares.
B.
Shareholder list
(1)
Largest shareholder and related parties as of March 31, 2026:

Name

 

Relationship

 

Number of shares
of common stock
(1)

 

Equity interest

LG Electronics

 

Largest shareholder

 

183,593,206

 

36.72%

Cheoldong Jeong

 

Executive of an affiliated company(2)

 

59,560(3)

 

0.01%

(1)
The number of shares of common stock reflects the shareholding status of our shareholders as of the date of this report.
(2)
The information on executive officers of our affiliated companies is based on the status of our registered executive officers.
(3)
Cheoldong Jeong, our Representative Director, acquired our shares through withdrawal from the Employee Stock Ownership Association.

 

(2)
Shares held by shareholders who are known to us that own 5% or more of our shares or our Employee Stock Ownership Association as of March 31, 2026:

Beneficial owner

 

Number of shares of common stock(1)

 

Equity interest

LG Electronics

 

183,593,206

 

36.72%

BlackRock Fund Advisors(2)

 

25,178,978

 

5.04%

Employee Stock Ownership Association

 

6,166,239

 

1.23%

(1)
The number of shares of common stock is based on the most recent shareholder register as of March 31, 2026, and may differ from the actual shareholding status.
(2)
The number of shares of common stock and equity interest of BlackRock Fund Advisors are based on information as of March 23, 2026, which shareholding status is based on the ‘Report on Significant Holdings of Stocks, etc.’ disclosed on March 30, 2026. Accordingly, its actual shareholding status may differ from the information presented herein.
17.
Directors and Employees
A.
Directors
(1)
List of members of board of directors

Name

 

Position

 

Shares of the Company held

 

First appointed

 

Term expires

Cheoldong Jeong

 

Representative Director (non‑outside), Chief Executive Officer, President, Chairperson of Management Committee and Member of ESG Committee

 

 

December 1, 2023

 

March 22, 2027

Sung Hyun Kim

 

Director (non‑outside), Chief Financial Officer, Vice President and Member of Management Committee and Related Party Transaction Committee

 

 

December 1, 2018

 

March 20, 2028

Sangwoo Lee

 

Non-standing Director and Member of Outside Director Nomination Committee

 

 

March 20, 2025

 

March 20, 2028

Doocheol Moon

 

Outside Director and Chairperson of Audit Committee and ESG Committee

 

 

March 23, 2021

 

March 22, 2027

Chung Hae Kang

 

Outside Director, Chairperson of Related Party Transaction Committee and Member of Audit Committee and ESG Committee

 

 

March 23, 2022

 

March 20, 2028

Jungsuk Oh

 

Outside Director, Chairperson of the Board of Directors and Member of Audit Committee, Outside Director Nomination Committee, Related Party Transaction Committee and ESG Committee

 

 

April 26, 2022

 

March 18, 2028

 

25

 

 


 

Sang Hee Park

 

Outside Director, Chairperson of Outside Director Nomination Committee and Member of Audit Committee

 

 

March 21, 2023

 

March 18, 2029

 

(2)
Compensation of directors

This information is omitted in quarterly reports in accordance with Korean disclosure rules, and we plan to include such information in our semi-annual and annual reports.

B.
Employees

This information is omitted in quarterly reports in accordance with Korean disclosure rules, and we plan to include such information in our semi-annual and annual reports.

18.
Other Matters
A.
Legal proceedings

We are a defendant in two separate civil lawsuits (comprising one damages claim in the United Kingdom filed by private plaintiffs and one damages claim in Israel filed by private plaintiffs) filed against us and certain other TFT-LCD panel manufacturers in connection with alleged anticompetitive behavior of the defendants. In each of these cases, the amount being sought has not been determined. The appellate court in the United Kingdom has rendered its judgment, which was partially in favor of the plaintiffs. Ancillary proceedings relating to litigation costs are ongoing, and a further appeal by the plaintiffs is pending. No trial has been scheduled for the case in Israel. While the expected outcome of each of these cases is unclear, we do not believe that any of these cases would have a material effect on our financial conditions.

In addition to the above litigation, we are responding to various other lawsuits and disputes. We are unable to reliably estimate the timing and amount of any outflow of resources embodying economic benefits in relation to such matters.

B.
Status of collateral pledged to related party

As of the end of the reporting period, we have not provided any collateral in connection with borrowings or debt guarantees arising from transactions with our major shareholders.

C.
Material events subsequent to the reporting period

On April 22, 2026, we announced new investments aimed at enhancing technological competitiveness and strengthening basis for growth through the advancement of OLED technologies. The planned investment amount is W1.1 trillion and the investment period is scheduled to be completed by June 30, 2028. For more details, please refer to the Form 6-K furnished to the SEC on April 22, 2026.

 

Other information in this section has been omitted in quarterly reports in accordance with Korean disclosure rules, and we plan to include such information in our semi-annual and annual reports.

 

26

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

 

Condensed Consolidated Interim Financial Statements

 

(Unaudited)

 

March 31, 2026 and 2025

 

(With Report on Review of Condensed Consolidated Interim Financial Statements)

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

Contents

 

 

 

 

Page

 

 

 

Report on Review of Condensed Consolidated Interim Financial Statements

 

1

 

 

 

Consolidated Interim Statements of Financial Position

 

3

 

 

 

Consolidated Interim Statements of Comprehensive Income (Loss)

 

4

 

 

 

Consolidated Interim Statements of Changes in Equity

 

5

 

 

 

Consolidated Interim Statements of Cash Flows

 

6

 

 

 

Notes to the Condensed Consolidated Interim Financial Statements

 

7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 

 

 

img98234657_0.jpg

Report on Review of Condensed Consolidated Interim Financial Statements

 

(English Translation of a Report Originally Issued in Korean)

 

 

 

 

To the Shareholders and Board of Directors of

LG Display Co., Ltd.

Reviewed Financial Statements

We have reviewed the accompanying condensed consolidated interim financial statements of LG Display Co., Ltd. and its subsidiaries (collectively referred to as the “Group”). These condensed consolidated interim financial statements consist of the consolidated interim statement of financial position of the Group as at March 31, 2026, and the related consolidated interim statements of comprehensive income, changes in equity and cash flows for the three-month periods ended March 31, 2026 and 2025, and material accounting policy information and other selected explanatory notes, expressed in Korean won.

Management's Responsibility for the Financial Statements

Management is responsible for the preparation and presentation of these condensed consolidated interim financial statements in accordance with International Financial Reporting Standards as adopted by the Republic of Korea (Korean IFRS) 1034 Interim Financial Reporting, and for such internal control as management determines is necessary to enable the preparation of condensed consolidated interim financial statements that are free from material misstatement, whether due to fraud or error.

 

 

Auditor's Responsibility

Our responsibility is to express a conclusion on these condensed consolidated interim financial statements based on our review.

 

We conducted our review in accordance with quarterly or semi-annual review standards established by the Securities and Futures Commission of the Republic of Korea. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Korean Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

 

 

Conclusion

Based on our review, nothing has come to our attention that causes us to believe the accompanying condensed consolidated interim financial statements are not prepared, in all material respects, in accordance with Korean IFRS 1034 Interim Financial Reporting.

 

Other Matters

We have audited the consolidated statement of financial position of the Group as at December 31, 2025, and the related consolidated statements of comprehensive income, changes in equity and cash flows for the year then ended, not presented herein, in accordance with Korean Standards on Auditing. We expressed an unqualified opinion on those consolidated financial statements in our audit report dated February 27, 2026. The consolidated statement of financial position as at December 31, 2025, presented herein for comparative purposes, is consistent, in all material respects, with the above audited consolidated statement of financial position as at December 31, 2025.

 

img98234657_1.jpg

 


 

Review standards and their application in practice vary among countries. The procedures and practices used in the Republic of Korea to review such financial statements may differ from those generally accepted and applied in other countries.

 

 

 

 

 

 

 

May 13, 2026

Seoul, Korea

 

 

 

 

This report is effective as of May 13, 2026, the review report date. Certain subsequent events or circumstances, which may occur between the review report date and the time of reading this report, could have a material impact on the accompanying condensed consolidated interim financial statements and notes thereto. Accordingly, the readers of the review report should understand that there is a possibility that the above review report may have to be revised to reflect the impact of such subsequent events or circumstances, if any.

 

2


 

LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Consolidated Interim Statements of Financial Position

As of March 31, 2026 and December 31, 2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(In millions of won)

 

 

Note

 

March 31, 2026
(Unaudited)

 

December 31, 2025

 

 

 

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

4, 24

W

1,523,637

 

1,572,058

Deposits in banks

 

4, 24

 

1,200

 

600

Trade accounts and notes receivable, net

5, 15, 24, 26

 

2,181,682

 

2,359,184

Other accounts receivable, net

5, 24

 

192,727

 

180,413

Other current financial assets

6, 24

 

144,275

 

89,525

Inventories, net

 

 

 

7

 

2,786,911

 

2,545,666

Prepaid income tax

 

 

 

39,511

 

38,558

Assets held for sale

 

27

 

12,136

 

-

Other current assets

 

 

 

263,376

 

196,073

        Total current assets

 

 

7,145,455

 

6,982,077

Deposits in banks

 

4, 24

 

11

 

11

Investments in equity accounted investees

8

 

33,770

 

36,506

Other non-current financial assets

6, 24

 

284,298

 

202,051

Property, plant and equipment, net

9, 18

 

14,288,983

 

14,470,776

Intangible assets, net

 

10, 18

 

1,847,286

 

1,478,035

Investment property

 

11, 18

 

17,860

 

18,031

Deferred tax assets, net

 

 

 

3,476,766

 

3,510,156

Defined benefit assets, net

13

 

169,956

 

198,535

Other non-current assets

 

 

31,271

 

20,522

        Total non-current assets

 

 

20,150,201

 

19,934,623

        Total assets

 

 

 

W

27,295,656

 

26,916,700

Liabilities

 

 

 

 

 

 

 

 

Trade accounts and notes payable

24, 26

W

2,737,617

 

3,307,687

Current financial liabilities

12, 24, 25, 26

 

4,877,193

 

3,798,394

Other accounts payable

24

 

1,251,846

 

1,461,014

Accrued expenses

 

 

 

550,572

 

782,552

Income tax payable, net

 

 

 

31,471

 

39,219

Provisions

 

 

 

14

 

82,379

 

86,290

Advances received

 

 

 

79,203

 

35,981

Liabilities held for sale

27

 

21,453

 

-

Other current liabilities

 

 

83,464

 

85,334

        Total current liabilities

 

 

9,715,198

 

9,596,471

Non-current financial liabilities

12, 24, 25

 

8,934,562

 

8,934,975

Non-current provisions

14

 

46,860

 

55,345

Defined benefit liabilities, net

13

 

1,188

 

1,109

Other non-current liabilities

24, 26

 

824,715

 

489,562

        Total non-current liabilities

 

 

9,807,325

 

9,480,991

        Total liabilities

 

 

 

W

19,522,523

 

19,077,462

Equity

 

 

 

 

 

 

 

 

 

Share capital

 

 

16

W

2,500,000

 

2,500,000

Capital surplus

 

 

16

 

2,740,811

 

2,740,811

Retained earnings(Accumulated deficit)

 

 

(292,676)

 

281,912

Reserves

 

 

 

16

 

1,511,238

 

1,081,401

        Equity attributable to owners of the Parent Company

 

 

6,459,373

 

6,604,124

        Non-controlling interests

 

 

1,313,760

 

1,235,114

        Total equity

 

 

 

 

7,773,133

 

7,839,238

        Total liabilities and equity

 

W

27,295,656

 

26,916,700

 

 

See accompanying notes to the condensed consolidated interim financial statements.

 

 

3


 

 

 

 

LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Consolidated Interim Statements of Comprehensive Income (Loss)

For the three-month periods ended March 31, 2026 and 2025

 

 

 

 

 

 

 

 

(In millions of won, except loss per share amounts)

 

 

 

 

 

 

 

 

 

Note 

 

2026
(Unaudited)

 

2025
(Unaudited)

Revenue

17, 18, 26

W

5,534,002

 

6,065,298

Cost of sales

7, 19, 26

 

(4,768,515)

 

(5,322,494)

Gross profit

 

 

765,487

 

742,804

Selling expenses

19, 20

 

(97,775)

 

(117,323)

Administrative expenses

19, 20

 

(188,732)

 

(240,956)

Research and development expenses

19

 

(332,261)

 

(351,061)

Operating income

 

 

146,719

 

33,464

Finance income

22

 

270,902

 

180,313

Finance costs

22

 

(529,626)

 

(336,967)

Other non-operating income

21

 

426,573

 

317,304

Other non-operating expenses

21

 

(838,313)

 

(342,742)

Equity in income of equity accounted investees, net

 

 

1,534

 

133

Loss before income tax

 

 

(522,211)

 

(148,495)

Income tax expense

 

 

(53,503)

 

(88,537)

Loss for the period

 

 

(575,714)

 

(237,032)

Other comprehensive income (loss)

 

 

 

 

 

Items that will not be reclassified to profit or loss

 

 

 

 

 

Remeasurements of net defined benefit liabilities

 

 

(3,897)

 

126

 

 

 

(3,897)

 

126

Items that are or may be reclassified to profit or loss

 

 

 

 

 

Foreign currency translation differences for foreign operations

16

 

514,363

 

(3,661)

Other comprehensive income (loss) from associates

8, 16

 

(857)

 

1,807

 

 

 

513,506

 

(1,854)

Other comprehensive income (loss) for the period, net of income tax

 

 

509,609

 

(1,728)

Total comprehensive loss for the period

 

W

(66,105)

 

(238,760)

Loss attributable to:

 

 

 

 

Owners of the Parent Company

 

 

(570,691)

 

(262,725)

Non-controlling interests

 

 

(5,023)

 

25,693

Loss for the period

 

W

(575,714)

 

(237,032)

Total comprehensive income (loss) attributable to:

 

 

 

 

Owners of the Parent Company

 

 

(144,751)

 

(267,903)

Non-controlling interests

 

 

78,646

 

29,143

Total comprehensive loss for the period

 

W

(66,105)

 

(238,760)

Loss per share (in won)

 

 

 

 

 

Basic loss per share

23

W

(1,141)

 

(525)

Diluted loss per share

23

W

(1,141)

 

(525)

 

 

 

 

 

 

 

 

 

 

 

 

See accompanying notes to the condensed consolidated interim financial statements.

 

4


 

LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated Interim Statements of Changes in Equity

 

 

 

 

 

 

 

 

 

 

 

 

For the three-month periods ended March 31, 2026 and 2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Attributable to owners of the Parent Company

 

 

 

 

 

 

 

 

 

 

 

 

 

Share

capital

 

Capital surplus

 

Retained
earnings

(Accumulated deficit)

 

Reserves

 

Other comprehensive income classified

 as held for sale

 

 

 

Non-controlling

interests

 

Total

equity

(In millions of won)

 

 

 

 

 

 

 

 

 

 

 

Sub-total

 

 

 

 

Balances at January 1, 2025

W

2,500,000

 

2,773,587

 

(18,512)

 

995,823

 

291,363

 

6,542,261

 

1,530,546

 

8,072,807

Total comprehensive income (loss) for the period

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Profit (loss) for the period

 

-

 

-

 

(262,725)

 

-

 

 -

 

(262,725)

 

25,693

 

(237,032)

Other comprehensive income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Remeasurements of net defined benefit liabilities

 

-

 

-

 

126

 

-

 

 -

 

126

 

-

 

126

Foreign currency translation differences for foreign operations

 

-

 

-

 

-

 

29,484

 

(36,595)

 

(7,111)

 

3,450

 

(3,661)

Other comprehensive income from associates

 

-

 

-

 

-

 

1,807

 

 -

 

1,807

 

-

 

1,807

Total other comprehensive income (loss)

 

-

 

-

 

126

 

31,291

 

(36,595)

 

(5,178)

 

3,450

 

(1,728)

    Total comprehensive income (loss) for the period

W

-

 

-

 

(262,599)

 

31,291

 

(36,595)

 

(267,903)

 

29,143

 

(238,760)

Balances at March 31, 2025 (Unaudited)

W

2,500,000

 

2,773,587

 

(281,111)

 

1,027,114

 

254,768

 

6,274,358

 

1,559,689

 

7,834,047

Balances at January 1, 2026

W

2,500,000

 

2,740,811

 

281,912

 

1,081,401

 

-

 

6,604,124

 

1,235,114

 

7,839,238

Total comprehensive income (loss) for the period

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss for the period

 

-

 

-

 

(570,691)

 

-

 

-

 

(570,691)

 

(5,023)

 

(575,714)

Other comprehensive income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Remeasurements of net defined benefit liabilities

 

-

 

-

 

(3,897)

 

-

 

-

 

(3,897)

 

-

 

(3,897)

Foreign currency translation differences for foreign operations

 

-

 

-

 

-

 

430,694

 

-

 

430,694

 

83,669

 

514,363

Other comprehensive income from associates

 

-

 

-

 

-

 

(857)

 

-

 

(857)

 

-

 

(857)

Total other comprehensive income (loss)

 

-

 

-

 

(3,897)

 

429,837

 

-

 

425,940

 

83,669

 

509,609

    Total comprehensive income (loss) for the period

W

-

 

-

 

(574,588)

 

429,837

 

-

 

(144,751)

 

78,646

 

(66,105)

Balances at March 31, 2026 (Unaudited)

W

2,500,000

 

2,740,811

 

(292,676)

 

1,511,238

 

-

 

6,459,373

 

1,313,760

 

7,773,133

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

See accompanying notes to the condensed consolidated Interim financial statements.

 

 

 

 

 

 

 

 

 

 

 

 

 

5

 


 

LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

 

 

Consolidated Interim Statements of Cash Flows

 

 

 

 

For the three-month periods ended March 31, 2026 and 2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(In millions of won)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Note

 

2026
(Unaudited)

 

2025
(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

Cash flows from (used in) operating activities:

 

 

 

 

 

 

  Cash generated from operations

 

25

W

36,993

 

858,932

  Income taxes paid

 

 

 

(19,045)

 

(74,315)

  Interest received

 

 

 

7,438

 

23,372

  Interest paid

 

 

 

(147,883)

 

(203,437)

Cash flows from (used in) operating activities

 

 

 

(122,497)

 

604,552

Cash flows from (used in) investing activities:

 

 

 

 

 

 

  Dividends received

 

 

 

3,415

 

1,664

  Increase in deposits in banks

 

 

 

(900)

 

(900)

  Proceeds from withdrawal of deposits in banks

 

 

 

300

 

600

  Acquisition of financial assets at fair value through profit or loss

 

 

 

(1,851)

 

(727)

  Proceeds from disposal of financial assets at fair value through profit or loss

 

 

 

5,553

 

34

  Receipt of advances related to assets held for sale

 

 

 

10,749

 

-

  Acquisition of property, plant and equipment

 

 

 

(443,903)

 

(368,439)

  Proceeds from disposal of property, plant and equipment

 

 

 

4,525

 

65,400

  Acquisition of intangible assets

 

 

 

(163,584)

 

(190,231)

  Government grants received

 

 

 

85

 

1,008

  Proceeds from settlement of derivatives

 

 

 

37,172

 

65,509

  Decrease in short-term loans

 

 

 

4,345

 

5,929

  Increase in deposits

 

 

 

(1,094)

 

(2,045)

  Decrease in deposits

 

 

 

3,576

 

2,572

Cash flows used in investing activities

 

 

 

(541,612)

 

(419,626)

Cash flows from (used in) financing activities:

 

25

 

 

 

 

  Proceeds from short-term borrowings

 

 

 

1,999,842

 

1,367,077

  Repayments of short-term borrowings

 

 

 

(1,044,141)

 

(1,033,848)

  Repayments of current portion of bonds

 

 

 

(45,000)

 

(612,000)

  Proceeds from long-term borrowings

 

 

 

815,000

 

1,162,817

  Repayments of current portion of long-term borrowings

 

 

 

(1,170,103)

 

(859,896)

  Payments of lease liabilities

 

 

 

(11,538)

 

(16,081)

  Dividends to non-controlling shareholders in subsidiaries

 

 

 

-

 

(6,390)

Cash flows from financing activities

 

 

 

544,060

 

1,679

Net increase (decrease) in cash and cash equivalents

 

 

 

(120,049)

 

186,605

Cash and cash equivalents at January 1

 

 

 

1,572,058

 

2,021,640

Effect of exchange rate fluctuations on cash held

 

 

 

71,628

 

5,211

Changes in cash and cash equivalents included in assets held for sale

 

 

 

-

 

(1,232,080)

Cash and cash equivalents at March 31

 

 

W

1,523,637

 

981,376

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

See accompanying notes to the condensed consolidated interim financial statements.

 

 

6

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

1. Reporting Entity

 

(a) Description of the Parent Company

 

LG Display Co., Ltd. (the "Parent Company") was incorporated in February 1985 and the Parent Company has been a public corporation listed on the Korea Exchange since 2004. The main business of the Parent Company and its subsidiaries (the “Group”) is to manufacture and sell displays and its related products. As of March 31, 2026, the Group operates Thin Film Transistor Liquid Crystal Display (“TFT-LCD”) and Organic Light Emitting Diode (“OLED”) panel manufacturing plants in Gumi, Paju and China and TFT-LCD and OLED module manufacturing plants in Gumi, Paju, China and Vietnam. The Parent Company is domiciled in the Republic of Korea with its address at 128 Yeoui-daero, Yeongdeungpo-gu, Seoul. As of March 31, 2026, LG Electronics Inc., a major shareholder of the Parent Company, owns 36.72% (183,593,206 shares) of the Parent Company’s common stock.

 

As of March 31, 2026, 500,000,000 shares of the Parent Company's common stock is listed on Korea Exchange under the identifying code 034220, and 40,481,566 American Depository Shares ("ADSs", 2 ADSs represent one share of common stock) is listed on the New York Stock Exchange under the symbol "LPL".

 

7

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

1. Reporting Entity, Continued

(b) Consolidated Subsidiaries as of March 31, 2026

 

Subsidiaries

 

Location

 

Percentage of ownership(%)

 

Closing month

 

Date of

incorporation

 

Business

LG Display America, Inc.

 

San Jose, U.S.A.

 

100

 

December

 

September 24, 1999

 

Sales of display products

LG Display Germany GmbH

 

Eschborn, Germany

 

100

 

December

 

October 15, 1999

 

Sales of display products

LG Display Japan Co., Ltd.

 

Tokyo, Japan

 

100

 

December

 

October 12, 1999

 

Sales of display products

LG Display Taiwan Co., Ltd.

 

Taipei, Taiwan

 

100

 

December

 

April 12, 1999

 

Sales of display products

LG Display Nanjing Co., Ltd.

 

Nanjing, China

 

100

 

December

 

July 15, 2002

 

Production of display products

LG Display Shanghai Co., Ltd.

 

Shanghai, China

 

100

 

December

 

January 16, 2003

 

Sales of display products

LG Display Shenzhen Co., Ltd.

 

Shenzhen, China

 

100

 

December

 

July 27, 2007

 

Sales of display products

LG Display Singapore Pte. Ltd.

 

Singapore

 

100

 

December

 

November 4, 2008

 

Sales of display products

L&T Display Technology (Fujian) Limited

 

Fujian, China

 

51

 

December

 

December 7, 2009

 

Production and sales of LCD module and LCD monitor sets

LG Display Yantai Co., Ltd.

 

Yantai, China

 

100

 

December

 

March 17, 2010

 

Production of display products

Nanumnuri Co., Ltd.

 

Gumi, South Korea

 

100

 

December

 

March 21, 2012

 

Operation of welfare facilities

Unified Innovative Technology, LLC

 

Wilmington, U.S.A.

 

100

 

December

 

March 12, 2014

 

Intellectual property management

LG Display Guangzhou Trading Co., Ltd.

 

Guangzhou, China

 

100

 

December

 

April 28, 2015

 

Sales of display products

Global OLED Technology, LLC

 

Sterling, U.S.A.

 

100

 

December

 

December 18, 2009

 

OLED intellectual property management

LG Display Vietnam Haiphong Co., Ltd.

 

Haiphong, Vietnam

 

100

 

December

 

May 5, 2016

 

Production and sales of display products

Suzhou Lehui Display Co., Ltd.

 

Suzhou, China

 

100

 

December

 

July 1, 2016

 

Production and sales of LCD module and LCD monitor sets

LG DISPLAY FUND I LLC (*)

 

Wilmington, U.S.A.

 

100

 

December

 

May 1, 2018

 

Investment in venture business and technologies

LG Display High-Tech (China) Co., Ltd.

 

Guangzhou, China

 

70

 

December

 

July 11, 2018

 

Production and sales of display products

 

(*) For the three-month period ended March 31, 2026, the Parent Company contributed W328 million in cash for the capital increase of LG DISPLAY FUND I LLC. There was no change in the Parent Company’s percentage of ownership in LG DISPLAY FUND I LLC as a result of this additional investment.

 

8

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

1. Reporting Entity, Continued

 

(c) Change in scope of Consolidation

 

For the year ended December 31, 2024, management of the Group decided to sell 80% of its stake in LG Display (China) Co., Ltd. and 100% of its stake in LG Display Guangzhou Co., Ltd. to TCL CSOT. The contract was signed on September 26, 2024, and the transaction was completed on April 1, 2025.

 

Subsidiaries

 

Location

 

Percentage of ownership(%)

 

Reason

LG Display Guangzhou Co., Ltd.

 

Guangzhou, China

 

100

 

Disposal

LG Display (China) Co., Ltd.

 

Guangzhou, China

 

80

 

Disposal

 

 

2. Basis of Preparation

 

(a) Application of accounting standards

 

The Group's condensed consolidated interim financial statements have been prepared in accordance with International Financial Reporting Standard as adopted by the Republic of Korea (Korean IFRS) 1034 Interim Financial Reporting. These condensed consolidated interim financial statements do not include all of the information required for full annual consolidated financial statements and should be read in conjunction with the consolidated financial statements of the Group as of and for the year ended December 31, 2025.

 

(b) Basis of Measurement

 

The condensed consolidated interim financial statements have been prepared on the historical cost basis except for the following material items in the consolidated statement of financial position:

 

derivative financial instruments at fair value, financial assets at fair value through profit or loss (“FVTPL”), financial assets at fair value through other comprehensive income (“FVOCI”), financial liabilities at fair value through profit or loss (“FVTPL”), and
net defined benefit liabilities (defined benefit assets) recognized at the present value of defined benefit obligations less the fair value of plan assets

 

(c) Functional and Presentation Currency

 

Items included in the financial statements of each of the Group’s entities are measured using the currency of the primary economic environment in which each entity operates (the “functional currency"). The consolidated financial statements are presented in Korean won, which is the Parent Company’s functional and presentation currency.

 

(d) Estimates and Judgments

 

The preparation of the condensed consolidated interim financial statements in conformity with Korean IFRS requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. The actual results may differ from the estimates at the end of the interim reporting period which are based on management’s best estimate, as the underlying assumptions may vary from actual outcomes.

 

 

 

 

9

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

2. Basis of Preparation, Continued

 

(e) Accounting standards and Interpretation issued and adopted by the Group

 

The Group has applied the following standards and amendments for the first time for their annual reporting period commencing January 1, 2026.

 

(i)
Amendments to Korean IFRS 1109 Financial Instruments, Korean IFRS 1107 Financial Instruments: Disclosures

 

Korean IFRS 1109 Financial Instruments and Korean IFRS 1107 Financial Instruments: Disclosures have been amended to respond to recent questions arising in practice, and to include new requirements.

 

-
clarify the date of recognition and derecognition of some financial assets and liabilities, with a new exception for some financial liabilities settled through an electronic cash transfer system;
-
clarify and add further guidance for assessing whether a financial asset meets the solely payments of principal and interest (SPPI) criterion;
-
add new disclosures of impact on the entity and the extent to which the entity is exposed for each type of financial instruments if the timing or amount of contractual cash flow changes due to amendment of contract term; and
-
update the disclosures for equity instruments designated at fair value through other comprehensive income (FVOCI).

 

(ii)
Annual Improvements to Korean IFRS - Volume 11

 

Annual Improvements to Korean IFRS - Volume 11 should be applied for annual periods beginning on or after January 1, 2026.

 

-
Korean IFRS 1101 First-time Adoption of International Financial Reporting Standards: Hedge accounting by a first-time adopter
-
Korean IFRS 1107 Financial Instruments: Disclosures: Gain or loss on derecognition and implementation guidance
-
Korean IFRS 1109 Financial Instruments: Derecognition of lease liabilities and definition of transaction price
-
Korean IFRS 1110 Consolidated Financial Statements: Determination of a ‘de facto agent’
-
Korean IFRS 1007 Statement of Cash Flows: Cost method

 

(iii)
Amendments to Korean IFRS 1109 Financial Instrumen1ts and Korean IFRS 1107 Financial Instruments: Disclosures - Contracts Referencing Nature-dependent Electricity

 

Contracts referencing nature-dependent electricity are defined contracts that expose an entity to variability in the underlying amount of electricity because the source of electricity generation depends on uncontrollable natural conditions (for example, the weather). The amendments clarify that ‘contracts to buy or sell such electricity’ are assessed for eligibility under the own-use exemption. In addition, the amendments modify hedge accounting requirements by allowing an entity to designate as the hedged item a variable nominal amount of forecast electricity transactions that reflect the nature-dependent variability of electricity and introduce additional disclosure requirements.

 

10

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

2. Basis of Preparation, Continued

 

(f) Accounting standards and Interpretation issued but not yet adopted by the Group

 

The Accounting standards and Interpretation issued that have been enacted or amended but have not been applied because the effective date has not arrived are as follows:

 

(i)
Korean IFRS 1118 Presentation and Disclosure in Financial Statements

 

Korean IFRS 1118 Presentation and Disclosure in Financial Statements replaces Korean IFRS 1001 Presentation of Financial Statements. Korean IFRS 1118 is expected to increase comparability of the financial performance of similar entities by providing users with more useful information for analyzing and comparing the entity's performance based on the income statement.

 

Korean IFRS 1118 should be first applied for annual periods beginning on or after January 1, 2027, and earlier application is permitted. In accordance with Korean IFRS 1008 Accounting Policies, Changes in Accounting Estimates and Errors, the comparative information for the year ended December 31, 2026, shall be restated under Korean IFRS 1118 as the Group is required to apply the standard retrospectively.

 

Management is in review for the impact of applying the new standard on consolidated financial statements. Adoption of the standard is not expected to have an impact on the Group's net profit or loss; however, it will require income and expenses in the income statements to be classified into new categories, which is expected to have an impact on the calculation and presentation of operating profit (loss).

 

 

(g) Income Tax Expense

 

The Group is within the scope of the Pillar Two model rules, and applied the exception to recognizing and disclosing information about deferred tax.

 

 

 

 

 

 

 

11

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

3. Accounting Policies

 

The accounting policies followed by the Group in the preparation of its condensed consolidated interim financial statements are the same as those followed by the Group in its preparation of the consolidated financial statements as of and for the year ended December 31, 2025, except for the application of Korean IFRS 1034 Interim Financial Reporting.

 

 

4. Cash and Cash Equivalents and Deposits in Banks

 

Details of cash and cash equivalents and deposits in banks as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Current assets

 

 

 

 

Cash and cash equivalents

 

 

 

 

Deposits

W

1,523,637

 

1,572,058

Deposits in banks

 

 

 

 

Time deposits

W

1,200

 

600

Non-current assets

 

 

 

 

Deposits in banks

 

 

 

 

Deposit for checking account

W

11

 

11

 

 

5. Trade Accounts and Notes Receivable, and Other Accounts Receivable

 

(a) Details of trade accounts and notes receivable and other accounts receivable as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Trade accounts and notes receivable, net

W

2,181,682

 

2,359,184

Other accounts receivable

 

 

 

 

Non-trade receivables, net

 

174,100

 

145,426

Accrued income, net

 

18,627

 

34,987

Subtotal

 

192,727

 

180,413

Total

W

2,374,409

 

2,539,597

 

 

 

 

 

12

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

5. Trade Accounts and Notes Receivable, and Other Accounts Receivable, Continued

 

(b) The aging of trade accounts and notes receivable and other accounts receivable as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

 

Original amount

 

Allowance for doubtful account

 

 

Trade accounts

and notes

receivable

 

Other

accounts

receivable

 

Trade accounts

and notes

receivable

 

Other

accounts

receivable

Not past due

W

2,170,807

 

101,700

 

(600)

 

(368)

1-15 days past due

 

6,304

 

6,992

 

-

 

(3)

16-30 days past due

 

3,362

 

36,335

 

-

 

(7)

31-60 days past due

 

1,714

 

8,303

 

-

 

-

More than 60 days past due

 

95

 

40,110

 

-

 

(335)

Total

W

2,182,282

 

193,440

 

(600)

 

(713)

 

(In millions of won)

 

December 31, 2025

 

 

Original amount

 

Allowance for doubtful account

 

 

Trade accounts

and notes

receivable

 

Other

accounts

receivable

 

Trade accounts

and notes

receivable

 

Other

accounts

receivable

Not past due

W

2,351,767

 

128,489

 

(722)

 

(523)

1-15 days past due

 

1,385

 

1,314

 

-

 

(1)

16-30 days past due

 

5,581

 

10,224

 

-

 

(1)

31-60 days past due

 

1,167

 

10,768

 

-

 

(3)

More than 60 days past due

 

6

 

30,422

 

-

 

(276)

Total

W

2,359,906

 

181,217

 

(722)

 

(804)

 

 

The movement in the allowance for doubtful account in respect of trade accounts and notes receivable and other accounts receivable for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

2026

 

2025

 

 

Trade accounts and notes receivable

 

Other accounts receivable

 

Trade accounts and notes receivable

 

Other accounts receivable

At January 1

W

722

 

804

 

1,383

 

478

(Reversal of) bad debt expense

(122)

 

(91)

 

(512)

 

 

109

At March 31

W

600

 

713

 

871

 

587

 

13

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

6. Other Financial Assets

 

Details of other financial assets as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

December 31, 2025

Current assets

 

 

 

 

Financial assets at fair value through profit or loss

 

 

 

 

Derivatives (*)

W

129,663

 

62,740

Financial assets carried at amortized cost

 

 

 

 

Deposits

W

5,726

 

8,851

Short-term loans

 

8,033

 

13,318

Subtotal

W

13,759

 

22,169

Other financial assets

 

 

 

 

Lease receivables

W

853

 

4,616

Total

W

144,275

 

89,525

Non-current assets

 

 

 

 

Financial assets at fair value through profit or loss

 

 

 

 

Equity instruments

W

127,297

 

124,316

Derivatives (*)

 

147,479

 

69,247

Subtotal

W

274,776

 

193,563

Financial assets at amortized cost

 

 

 

 

Deposits

W

6,746

 

5,698

Other financial assets

 

 

 

 

Lease receivables

W

2,776

 

2,790

Total

W

284,298

 

202,051

 

(*) The derivatives, which are not designated as hedging instruments, arise from cross‑currency interest rate swap contracts and interest rate swap contracts for the purpose of managing risks associated with borrowings and bonds.

14

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

7. Inventories

 

Details of inventories as of March 31, 2026 and December 31, 2025 are as follows:

 

(i) As of March 31, 2026

(In millions of won)

 

 

 

 

 

 

 

 

Cost

 

Valuation allowance

 

Carrying

amount

Finished goods

W

762,097

 

(32,655)

 

729,442

Work-in-process

 

1,500,759

 

(179,682)

 

1,321,077

Raw materials

 

576,612

 

(25,438)

 

551,174

Supplies

 

207,571

 

(22,353)

 

185,218

Total

W

3,047,039

 

(260,128)

 

2,786,911

 

(ii) As of December 31, 2025

(In millions of won)

 

 

 

 

 

 

 

 

Cost

 

Valuation allowance

 

Carrying

amount

Finished goods

W

802,647

 

(57,184)

 

745,463

Work-in-process

 

1,271,007

 

(156,597)

 

1,114,410

Raw materials

 

528,812

 

(24,969)

 

503,843

Supplies

 

204,905

 

(22,955)

 

181,950

Total

W

2,807,371

 

(261,705)

 

2,545,666

 

For the three-month periods ended March 31, 2026 and 2025, the amounts of inventories recognized as expense and reversal of loss on valuation of inventories are as follows:

 

(In millions of won)

 

2026

 

2025

Cost of sales

W

4,768,515

 

5,322,494

Inventories recognized as expense

 

4,770,955

 

5,345,086

Reversal of write-downs of inventories deducted from cost of sales

 

(2,440)

 

(22,592)

 

 

 

15

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

8. Investments in equity accounted investees

 

Details of investment in associates as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Associates

 

Location

 

Closing

 

Business

 

Percentage of ownership

 

 

Carrying

amount

 

Percentage of ownership

 

Carrying

amount

Paju Electric Glass Co., Ltd.

 

Paju,

South Korea

 

December

 

Production of glass for display

 

40%

W

28,661

 

40%

W

31,479

Arctic Sentinel, Inc.

 

Los Angeles, U.S.A.

 

March

 

Development and production of

tablet for kids

 

10%

 

-

 

10%

 

-

Cynora GmbH

 

Bruchsal,

Germany

 

December

 

Development of organic light emitting materials for displays and lighting devices

 

10%

 

-

 

10%

 

-

Material Science Co., Ltd.

 

Hwaseong,

South Korea

 

December

 

Development, production, and sales of materials for display

 

9%

5,109

 

9%

 

5,027

Total

 

 

 

 

 

 

 

 

W

33,770

 

 

W

36,506

 

 

Although the Parent Company’s respective share interests in Arctic Sentinel, Inc., Cynora GmbH and Material Science Co., Ltd. are below 20%, the Parent Company is able to exercise significant influence through its right to appoint one or more directors to the board of directors of each investee. Accordingly, the investments in these investees have been accounted for using the equity method.

 

Dividend income recognized from associates for the three-month periods ended March 31, 2026 and 2025 amounted to W3,415 million and W1,664 million, respectively.

16

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

9. Property, Plant and Equipment

 

(a) Changes in property, plant and equipment for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

 

 

 

2026

 

2025

Book value as of January 1

W

 

14,470,776

 

17,202,873

Acquisitions

 

 

416,819

 

247,118

Depreciation

 

 

(820,028)

 

(1,006,788)

Disposals

 

 

(11,317)

 

(78,712)

Impairment loss (*)

 

 

(1,088)

 

(2,263)

Effect of movements in exchange rates and others

 

 

246,022

 

13,628

Government grants received

 

 

(85)

 

(1,008)

Reclassified as held for sale

 

 

(12,116)

 

-

Book value as of March 31

W

 

14,288,983

 

16,374,848

 

(*) If there are indications of impairment, impairment losses are recognized for the difference between the carrying amount and the recoverable amount of property, plant and equipment.

 

(b) For the three-month period ended March 31, 2026, the capitalized borrowing costs amounted to W3,746 million (For the three-month period ended March 31, 2025: W3,090 million), and capitalization rate is 4.51% (For the three-month period ended March 31, 2025: 5.00%).

 

 

10. Intangible Assets

 

Changes in intangible assets for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

 

 

 

2026

 

2025

Book value as of January 1

W

 

1,478,035

 

1,558,407

Acquisitions

 

 

457,241

 

32,569

Acquisitions by Internal Development

 

 

96,807

 

131,851

Amortization

 

 

(186,520)

 

(203,154)

Impairment loss (*)

 

 

(6,604)

 

(453)

Effect of movements in exchange rates and Others

 

 

8,327

 

(875)

Book value as of March 31

W

 

1,847,286

 

1,518,345

 

(*) If there are indications of impairment, impairment losses are recognized for the difference between the carrying amount and the recoverable amount of intangible assets.

 

17

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

11. Investment Property

 

(a) Changes in investment property for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

 

(In millions of won)

 

2026

 

2025

Book value as of January 1

W

18,031

 

27,911

Depreciation

 

(171)

 

(1,272)

Others

 

-

 

10

Book value as of March 31

W

17,860

 

26,649

 

(b) For the three-month period ended March 31, 2026, rental revenue from investment property is W1,572 million (For the three-month period ended March 31, 2025: W2,535 million) and rental cost is W251 million (For the three-month period ended March 31, 2025: W1,345 million).

 

 

12. Financial Liabilities

 

(a)
Details of financial liabilities as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Current

 

 

 

 

Short-term borrowings

W

1,833,016

 

810,718

Current portion of long-term borrowings

 

2,521,520

 

2,548,958

Current portion of bonds

 

486,120

 

398,223

Derivatives (*)

 

2,643

 

4,066

Lease liabilities

 

33,894

 

36,429

Total

W

4,877,193

 

3,798,394

Non-current

 

 

 

 

Long-term borrowings

W

8,894,462

 

8,781,368

Bonds

 

-

 

124,871

Derivatives (*)

 

12,673

 

5,487

Lease liabilities

 

27,427

 

23,249

Total

W

8,934,562

 

8,934,975

 

(*) The derivatives, which are not designated as hedging instruments, arise from cross‑currency interest rate swap contracts and interest rate swap contracts for the purpose of managing risks associated with borrowings and bonds.

18

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

12. Financial Liabilities, Continued

 

(b) Details of short-term borrowings as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

 

 

Lender

 

Description

 

Annual interest rate

as of

March 31, 2026 (%)

 

March 31,

2026

 

December 31, 2025

Standard Chartered Bank Korea Limited and others

 

Working capital and others

 

2.37 ~ 4.75

W

1,833,016

 

810,718

 

(c) Details of Korean won denominated long-term borrowings as of March 31, 2026 and December 31, 2025 are as follows:

(In millions of won)

 

 

 

 

 

 

 

 

 

 

Lender

 

Description

 

Latest maturity date

 

Annual interest rate

as of

March 31, 2026 (%)

 

March 31,

2026

 

December 31,

 2025

Korea Development Bank and others

 

Facility capital and others

 

April 2026 ~ March 2036

 

3.46 ~ 5.65

W

4,138,323

 

4,000,423

   Less: current portion

 

 

 

 

 

 

 

(943,750)

 

(1,190,000)

Total

 

 

 

 

 

 

W

3,194,573

 

2,810,423

 

(d) Details of foreign currency denominated long-term borrowings as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won, USD and CNY)

Lender

 

Description

 

Latest

maturity date

 

Annual interest rate as of

March 31, 2026 (%)

 

March 31,

2026

 

December 31, 2025

KEB Hana Bank and others

 

Facility capital and others

 

September 2026 ~ July 2029

 

2.03 ~ 6.27

W

7,277,659

 

7,329,903

Foreign currency equivalent of foreign currency borrowings

 

USD 2,263

 

USD 2,350

 

CNY 17,615

 

CNY 19,332

   Less: current portion

 

(1,577,770)

 

(1,358,958)

Total

 

 

 

 

 

 

W

5,699,889

 

5,970,945

 

19

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

12. Financial Liabilities, Continued

 

(e) Details of bonds issued and outstanding as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won and USD)

 

 

 

 

 

 

 

 

 

 

Maturity

 

Annual interest rate as of

March 31, 2026 (%)

 

March 31,

2026

 

December 31, 2025

Korean won denominated bonds at amortized cost (*1)

 

 

 

 

 

 

 

 

Publicly issued bonds

 

 

September 2026

~ February 2027

 

2.79 ~ 3.66

W

335,000

 

335,000

Privately issued bonds

 

-

 

-

 

-

 

45,000

Less: discount on bonds

 

 

 

 

 

(182)

 

(257)

Less: current portion

 

 

 

 

 

(334,818)

 

(254,872)

Subtotal

 

 

 

 

W

-

 

124,871

Foreign currency denominated bonds at amortized cost (*2)

 

 

 

 

 

 

 

 

Privately issued bonds

 

April 2026

 

5.57

W

151,340

 

143,490

Foreign currency equivalent of foreign currency denominated bonds

 

 

 

 

 

USD 100

 

USD 100

Less: discount on bonds

 

 

 

 

 

(38)

 

(139)

Less: foreign currency equivalent of discount on bonds

of foreign currency denominated bonds

 

 

 

 

 

USD (0)

 

USD (0)

Less: current portion

 

(151,302)

 

(143,351)

Subtotal

 

 

 

 

W

-

 

-

Total

 

 

 

 

W

-

 

124,871

 

(*1) Principal of the Korean won denominated bonds is to be repaid at maturity and interest is paid quarterly.

(*2) Principal of the foreign currency denominated bonds is to be repaid at maturity and interest is paid quarterly.

20

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

13. Post-employment Benefits

 

(a) Defined benefit plans

 

The Parent Company and certain subsidiaries’ defined benefit plans provide a lump-sum payment to an employee based on final salary rates and length of service at the time the employee leaves the Parent Company or its certain subsidiaries.

 

i) Details of net defined benefit liabilities (defined benefit assets) recognized as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Present value of defined benefit obligations

W

1,253,126

 

1,276,310

Fair value of plan assets

 

(1,421,894)

 

(1,473,736)

Total

W

(168,768)

 

(197,426)

Defined benefit liabilities, net

W

1,188

 

1,109

Defined benefit assets, net

W

(169,956)

 

(198,535)

 

 

ii) Details of plan assets as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Time deposits in banks

W

1,421,894

 

1,473,736

 

As of March 31, 2026, the Group maintains the plan assets primarily with Shinhan Bank, KEB Hana Bank and others.

 

iii) Details of expenses related to defined benefit plans recognized in profit or loss for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

2026

 

2025

Current service cost

W

30,517

 

36,924

Net interest cost

 

(2,340)

 

(1,561)

Total(*)

W

28,177

 

35,363

 

(*) The total cost related to the defined benefit plans includes capitalized amounts of W2,149 million (for the three-month period ended March 31, 2025: W2,605 million).

 

(b) Defined contribution plans

 

The amount recognized as an expense in relation to the defined contribution plan for the three-month period ended March 31, 2026 is W9,990 million (for the three-month period ended March 31, 2025: W6,754 million).

21

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

14. Provisions

 

Changes in provisions for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(i) 2026

 

(In millions of won)

 

 

 

 

 

 

 

 

 

 

Litigation

 

Warranties (*)

 

Others

 

Total

At January 1, 2026

W

1,546

 

136,309

 

3,780

 

141,635

Additions

 

3,836

 

6,855

 

5,064

 

15,755

Usage

 

-

 

(22,342)

 

(5,809)

 

(28,151)

At March 31, 2026

W

5,382

 

120,822

 

3,035

 

129,239

Current

W

5,382

 

73,962

 

3,035

 

82,379

Non-current

W

-

 

46,860

 

-

 

46,860

 

(*) The Group provides warranty on defective products for warranty periods after sales. The provision is calculated based on the assumption of expected number of warranty claims and costs per claim considering historical experience.

 

(ii) 2025

 

(In millions of won)

 

 

 

 

 

 

 

 

 

 

Litigation

 

Warranties (*)

 

Others

 

Total

At January 1, 2025

W

7,479

 

152,683

 

5,997

 

166,159

Additions (reversal)

 

58

 

17,088

 

(1,049)

 

16,097

Usage

 

(5,450)

 

(25,341)

 

-

 

(30,791)

At March 31, 2025

W

2,087

 

144,430

 

4,948

 

151,465

Current

W

2,087

 

87,791

 

4,948

 

94,826

Non-current

W

-

 

56,639

 

-

 

56,639

 

(*) The Group provides warranty on defective products for warranty periods after sales. The provision is calculated based on the assumption of expected number of warranty claims and costs per claim considering historical experience.

22

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

15. Contingent Liabilities and Commitments

 

(a)
Legal Proceedings

 

Litigation alleging violations of antitrust and competition laws

 

The Group and other LCD panel manufacturers have been sued by individual companies for alleged violations of European Union competition laws. The Group is actively defending itself in these ongoing legal proceedings, and as of March 31, 2026, the Group cannot predict the ultimate outcome of the litigation.

 

Others

 

The Group is involved in various lawsuits and disputes in addition to pending proceedings described above. The Group cannot reliably estimate the timing and amount of outflows of resources embodying economic benefits relating to the disputes.

 

(b)
Commitments

 

Factoring and transfer of trade receivables

 

The Parent Company has entered into discount agreements with NongHyup Bank and other banks for accounts receivable related to export sales transactions with its subsidiaries, with a credit limit of up to USD 1,100 million (Equivalent to W1,664,740 million). As of March 31, 2026, the amount of the discounted trade receivables that remain outstanding until maturity under the agreement is USD 335 million (Equivalent to W506,472 million). In relation to the above contract, financial institutions retain the right of recourse against the Group for any discounted receivables that are not collected at maturity.

 

The Group has entered into receivable transfer agreements with Standard Chartered Bank and other financial institutions in respect of trade receivables, with an aggregate limit of W4,146,717 million. As of March 31, 2026, the amount of transferred trade receivables that remain outstanding until maturity under the agreement is W1,514,745 million. In relation to the above agreements, financial institutions do not have recourse to the Group for any receivables that are not recovered at maturity.

 

Loan commitment

 

As of March 31, 2026, the Group has borrowing and letter of credit facilities with Hana Bank and other financial institutions with a combined credit limit of W4,076,638 million.

 

Payment guarantees

 

The Group has received payment guarantees from the Export-Import Bank of Korea and others in relation to borrowings amounting to USD 853 million (Equivalent to W1,291,119 million).

 

The Group has entered into agreements with Seoul Guarantee Insurance Co., Ltd., and others to receive guarantees with an aggregate limit of KRW 2,653 million, CNY 550 million (Equivalent to W120,285 million), JPY 900 million (Equivalent to W8,521 million), VND 75,163 million (Equivalent to W4,314 million), and USD 0.2 million (Equivalent to W274 million) for the performance guarantees, payment of consumption tax, import value-added tax, customs duties, and electricity charges.

 

License agreements

 

As of March 31, 2026, the Group has a trademark license agreement with LG Corp. and pays the usage fee according to the terms of the Agreement.

 

23

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

15. Contingent Liabilities and Commitments, Continued

 

Collateral

 

Details of collateral provided by the Group as of March 31, 2026 are as follows:

 

(In millions of won, CNY)

Collateral

 

Carrying amount

 

Maximum secured amount of credit

 

Secured creditor

 

Collateral borrowings amount

Property, plant and equipment and others

 

212,922

 

780,000

 

Korea Development Bank and others

 

650,000

Property, plant and equipment and others

 

761,243

 

-

 

China Construction Bank Corporation and others

 

CNY 4,500

 

 

Commitments for asset acquisition

 

The amount committed to acquire property, plant, equipment and intangible assets not recognized on the financial statements as of March 31, 2026 is W779,112 million.

24

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

16. Share Capital, Capital Surplus and Reserves

 

(a) Share capital and Capital surplus

 

The total number of shares to be issued by the Parent Company is 1,000,000,000 shares, the number of shares issued is 500,000,000 shares (December 31, 2025 : 500,000,000 shares), and the par value per share is W5,000. There were no changes in the share capital of the Parent Company for the three-month period ended March 31, 2026.

 

 

Capital surplus as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

March 31, 2026

 

December 31, 2025

Share premium

W

2,821,006

 

2,821,006

Other capital surplus

 

(80,195)

 

(80,195)

Total

W

2,740,811

 

2,740,811

 

 

(b) Reserves

 

Reserves consist of the following:

 

Foreign currency translation differences for foreign operations

 

Foreign currency translation differences for foreign operations include all foreign currency differences arising from translating the financial statements of the Group’s foreign operations.

 

Other comprehensive income (loss) from associates

 

The other comprehensive income (loss) from associates comprises include the Group’s share of other comprehensive income arising from the amount related to change in equity of investments in equity-method investments.

 

Reserves as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

March 31, 2026

 

December 31, 2025

Foreign currency translation differences for foreign operations

W

1,539,319

 

1,108,625

Other comprehensive loss from associates

 

(28,081)

 

(27,224)

Total

W

1,511,238

 

1,081,401

 

 

 

 

 

 

 

 

 

25

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

17. Revenue

 

Details of revenue for the three-month periods ended March 31, 2026 and 2025 are as follows:

(In millions of won)

 

 

 

 

 

 

2026

 

2025

Sales of goods

W

5,508,024

 

5,992,956

Others (*)

 

25,978

 

72,342

Total

W

5,534,002

 

6,065,298

 

(*) Others include royalties and rental revenue.

 

 

For the three-month period ended March 31, 2026, the revenue recognized by satisfying performance obligation for the amount received from the customer in prior reporting periods is W9,206 million (For the three-month period ended March 31, 2025 : W221,302 million).

 

 

18. Information about geographical areas and products

 

Details of information of geographical areas and products for the three-month periods ended March 31, 2026, and 2025 are as follows:

(a)
Revenue by geography (Customer based)

 

(In millions of won)

 

Region

 

2026

 

2025

Domestic

W

275,920

 

240,179

Foreign

 

 

 

 

China

 

3,570,205

 

3,933,260

Asia (excluding China)

 

1,010,954

 

943,686

North America

 

341,129

 

542,431

Europe

 

335,794

 

405,742

Subtotal

W

5,258,082

 

5,825,119

Total

W

5,534,002

 

6,065,298

 

“Company A” and “Company B” accounted for more than 10% of the Group’s revenue for the three-month period ended March 31, 2026, with amounts of W3,230,601 million and W696,425 million, respectively (For the three-month period ended March 31, 2025: W3,181,785 million and W850,873 million, respectively). The aggregated revenues from the Group’s top ten customers accounted for 93% of revenue for the three-month period ended March 31, 2026(For the three-month period ended March 31, 2025: 90%).

 

 

26

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

18. Information about geographical areas and products, Continued

 

(b)
Non-current assets by geography

 

(In millions of won)

 

 

 

 

 

 

 

 

 

 

 

 

Region

 

March 31, 2026

 

December 31, 2025

 

 

Property, plant and equipment

 

Intangible

assets

 

Investment Property

 

Property, plant and equipment

 

Intangible

assets

 

Investment Property

Domestic

W

9,983,202

 

1,721,645

 

17,860

 

10,299,102

 

1,427,773

 

18,031

Foreign

 

 

 

 

 

 

 

 

 

 

 

 

China

 

1,462,397

 

83,311

 

-

 

1,457,884

 

6,816

 

-

Vietnam

 

2,826,657

 

27,621

 

-

 

2,699,577

 

30,249

 

-

Others

 

16,727

 

14,709

 

-

 

14,213

 

13,197

 

-

Subtotal

W

4,305,781

 

125,641

 

-

 

4,171,674

 

50,262

 

-

Total

W

14,288,983

 

1,847,286

 

17,860

 

14,470,776

 

1,478,035

 

18,031

 

 

(c)
Revenue by product and services

 

(In millions of won)

 

 

 

 

2026

 

2025

TV

W

870,192

 

1,345,093

IT

 

1,997,092

 

2,107,776

Mobile and others (*)

 

2,118,242

 

2,083,122

AUTO

 

548,476

 

529,307

Total (*)

W

5,534,002

 

6,065,298

 

(*) This includes other revenue.

 

For the three-month period ended March 31, 2026, the revenue from OLED products accounted for 60% of the total revenue(For the three-month period ended March 31, 2025: 55%) of the total revenue.

27

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

19. The Nature of Expenses

 

The classifications of expenses by nature for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

2026

 

2025

Changes in inventories

W

(241,245)

 

(284,850)

Purchases of raw materials and others

 

2,592,524

 

2,915,391

Depreciation and amortization

 

994,284

 

1,197,852

Outsourcing

 

327,817

 

295,355

Labor

 

819,982

 

900,217

Supplies and others

 

209,891

 

229,193

Utility

 

292,994

 

336,119

Fees and commissions

 

163,026

 

170,690

Freight cost

 

23,388

 

30,710

Advertising

 

12,742

 

13,809

Travel

 

9,177

 

10,637

Taxes and dues

 

32,564

 

33,155

Others

 

150,139

 

183,556

Total (*)

W

5,387,283

 

6,031,834

(*) Total expenses consist of cost of sales, selling, administrative, research and development expenses.

 

28

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

20. Selling and Administrative Expenses

 

Details of selling and administrative expenses for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

2026

 

2025

Salaries

W

86,963

 

132,053

Post-employment benefit

 

5,045

 

6,484

Other employee benefits

 

19,466

 

21,005

Freight cost

 

15,457

 

20,674

Fees and commissions

 

55,363

 

53,704

Depreciation and amortization

 

49,431

 

54,956

Taxes and dues

 

9,528

 

10,760

Advertising

 

12,742

 

13,809

Insurance

 

3,003

 

3,337

Travel

 

2,845

 

2,872

Training

 

3,262

 

3,333

Others

 

23,402

 

35,292

Total

W

286,507

 

358,279

 

 

 

29

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

21. Other Non-operating Income and Other Non-operating Expenses

 

(a) Details of other non-operating income for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

2026

 

2025

Foreign currency gain

W

408,756

 

306,286

Gain on disposal of property, plant and equipment

 

11,081

 

8,560

Others

 

6,736

 

2,458

Total

W

426,573

 

317,304

 

(b) Details of other non-operating expenses for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

2026

 

2025

Foreign currency loss

W

804,235

 

311,732

Loss on disposal of property, plant and equipment

 

18,576

 

21,727

Impairment loss on property, plant and equipment

 

1,378

 

2,263

Impairment loss on intangible assets

 

6,604

 

453

Others

 

7,520

 

6,567

Total

W

838,313

 

342,742

 

30

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

22. Finance Income and Finance Costs

 

Details of finance income and costs recognized in profit or loss for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

2026

 

2025

Finance income

 

 

 

 

Interest income

W

7,615

 

22,038

Foreign currency gain

 

72,287

 

90,117

Gain on transaction of derivatives

 

37,420

 

65,650

Gain on valuation of derivatives

 

149,416

 

1,582

Others

 

4,164

 

926

Total

W

270,902

 

180,313

Finance costs

 

 

 

 

Interest expense

W

147,395

 

201,022

Foreign currency loss

 

359,593

 

75,511

Loss on sale of trade accounts and notes receivable

 

9,495

 

2,208

Loss on valuation of derivatives

 

10,023

 

55,588

Others

 

3,120

 

2,638

Total

W

529,626

 

336,967

 

 

23. Loss Per Share

 

(a)
Basic loss per share for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In won and number of shares)

 

 

 

 

 

 

2026

 

2025

Loss for the period

W

(570,691,298,731)

 

(262,725,430,264)

Weighted-average number of common shares outstanding

 

500,000,000

 

500,000,000

Basic loss per share

W

(1,141)

 

(525)

 

(b) Diluted loss per share is not different from basic loss per share as there are no dilution effects of potential common stocks.

 

 

31

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management

 

The Group is exposed to credit risk, liquidity risk and market risk. The Group identifies and analyzes such risks, and controls are implemented under a risk management system to monitor and manage these risks at below an acceptable level.

 

(a) Market risk

 

Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices, which will affect the Group’s income or the value of its holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimizing the return.

 

(i) Currency risk

 

The Group is exposed to currency risk on sales, purchases and borrowings that are denominated in a currency other than the functional currency. The currencies in which these transactions primarily are denominated are USD and JPY, etc.

 

The Group adopts policies to ensure that its net exposure is kept to a manageable level by buying or selling foreign currencies at spot rates when necessary to address short-term imbalances in foreign currency cash inflows and outflows. In respect of monetary assets and liabilities denominated in foreign currencies, the Group manages currency risk through continuously managing the position of foreign currencies, measuring the currency risk and, if necessary, using derivatives such as currency forwards, currency swap and others.

 

Cross currency interest rate swap contracts, USD 600 million(December 31, 2025: USD 580 million) and CNY 1,740 million(December 31, 2025: CNY 380 million) were entered into to manage currency risk with respect to foreign currency denominated borrowings and USD 845 million(December 31, 2025: USD 1,020 million) were entered into to manage currency risk and interest rate risk with respect to foreign currency denominated borrowings and bonds.

 

A weaker won, as indicated below, against the following currencies which comprise the Group’s financial assets or liabilities denominated in a foreign currency as of March 31, 2026 and December 31, 2025, would have increased (decreased) equity and profit or loss by the amounts shown below. This analysis is based on foreign currency exchange rate variances that the Group considers to be reasonably possible at the end of the reporting period. The sensitivity analysis assumes that all other variables, in particular interest rates, would remain constant. The changes in profit or loss before income tax would have been as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

USD (5 percent weakening)

W

(66,905)

 

21,011

JPY (5 percent weakening)

 

(4,129)

 

(5,434)

 

If the exchange rates for the currencies presented above were to decrease at the end of the reporting period, with all other variables held constant, the effects would be the opposite of those presented above.

 

(ii) Interest rate risk

 

Interest rate risk arises principally from the Group’s variable interest-bearing bonds and borrowings. The Group establishes and applies its policy to reduce uncertainty arising from fluctuations in interest rates and to minimize finance cost and manage interest rate risk by monitoring trends of fluctuations in interest rate and establishing plan for countermeasures. Meanwhile, the Group entered into cross currency interest rate swap contracts amounting to USD 845 million (Equivalent to W1,278,823 million) and interest rate swap contracts amounting to USD 250 million (Equivalent to W378,350 million) and W2,030,000 million in notional amount to hedge interest rate risk with respect to variable interest-bearing borrowings.

32

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

i) Profile

 

The interest rate profile of the Group’s interest-bearing financial instruments as of March 31, 2026 and December 31, 2025 is as follows:

 

(In millions of won)

 

March 31, 2026

 

December 31, 2025

 

 

 

 

 

Fixed rate instruments

 

 

 

 

Financial assets

W

1,524,837

 

1,572,658

Financial liabilities

 

(3,579,102)

 

(2,548,213)

Total

W

(2,054,265)

 

(975,555)

Variable rate instruments

 

 

 

 

Financial liabilities

W

(10,156,016)

 

(10,115,925)

 

ii) Profit or loss before income tax sensitivity analysis for variable rate instruments

 

As of March 31, 2026 and December 31, 2025, a change of 100 basis points in interest rates at the reporting date would have increased (decreased) profit or loss before income tax by the amounts shown below for the respective following 12 month periods. This analysis assumes that all other variables remain constant.

 

(In millions of won)

 

Profit or loss before income tax

 

 

1%p increase

 

1%p decrease

March 31, 2026

 

 

 

 

Variable rate instruments

W

(101,560)

 

101,560

December 31, 2025

 

 

 

 

Variable rate instruments

W

(101,159)

 

101,159

 

 

33

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

(b) Credit risk

 

Credit risk is the risk of financial loss to the Group if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the Group’s receivables from customers.

 

The Group’s exposure to credit risk of trade and other receivables is influenced mainly by the individual characteristics of each customer. However, management believes that the default risk of the country in which each customer operates, does not have a significant influence on credit risk since the majority of the customers are global electronic appliance manufacturers operating in global markets.

 

The Group establishes credit limits for each customer and each new customer is analyzed quantitatively and qualitatively before determining whether to utilize third party guarantees, insurance or factoring as appropriate.

 

In relation to the impairment of financial assets subsequent to initial recognition, the Group recognizes the changes in expected credit loss (“ECL”) in profit or loss at each reporting date.

 

The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Financial assets carried at amortized cost

 

 

 

 

Cash equivalents

W

1,523,637

 

1,572,058

Deposits in banks

 

1,211

 

611

Trade accounts and notes receivable, net

 

1,603,131

 

2,136,774

Non-trade receivables, net

 

174,100

 

145,426

Accrued income, net

 

18,627

 

34,987

Deposits

 

12,472

 

14,549

Loans

 

8,033

 

13,318

Subtotal

 

3,341,211

 

3,917,723

Other financial assets

 

 

 

 

Lease receivables

W

3,629

 

7,406

Financial assets at fair value through profit or loss

 

 

 

 

Derivatives

 

277,142

 

131,987

Financial assets at fair value through other comprehensive profit or loss

 

 

 

 

Trade accounts and notes receivable, net

W

578,551

 

222,410

Total

W

4,200,533

 

4,279,526

 

Trade accounts and notes receivable are insured in order for the Group to manage credit risk if they do not meet the Group’s internal credit ratings. Uninsured trade accounts and notes receivable are managed by continuous monitoring of internal credit rating standards established by the Group and seeking insurance coverage, if necessary.

 

 

 

 

 

 

 

 

 

34

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

(c) Liquidity risk

 

Liquidity risk is the risk that the Group will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or other financial assets. The Group’s liquidity management policy involves projecting cash flows in major currencies and considering the level of liquid assets necessary to meet these, monitoring liquidity ratios against internal and external regulatory requirements and maintaining debt financing plans.

 

The Group has historically been able to satisfy its cash requirements from cash flows from operations and debt and equity financing.

 

Meanwhile, the Group has entered into borrowing facility agreements with several banks. These agreements may include financial covenants requiring the Group to meet certain financial performance targets. The Group periodically monitors compliance with these agreements through its internal control procedures to proactively manage liquidity risk.

 

 

35

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

(i) Contractual cash flows of financial liabilities

 

The following are the contractual maturities of financial liabilities, including estimated interest payments, as of March 31, 2026 and December 31, 2025.

 

i) As of March 31, 2026

 

(In millions of won)

Contractual cash flows

Carrying amount

Total

6 months or less

6-12 months

1-2 years

2-5 years

More than

5 years

Non-derivative financial liabilities

Borrowings

W

13,248,998

 

13,808,617

 

2,609,898

 

1,913,815

 

5,841,321

 

3,284,737

 

158,846

Bonds

486,120

 

495,950

 

368,665

 

127,285

 

-

 

-

 

-

Trade accounts and notes payable(*)

2,737,617

 

2,737,617

 

2,737,617

 

-

 

-

 

-

 

-

Other accounts payable(*)

1,251,846

 

1,255,587

 

1,141,325

 

114,262

 

-

 

-

 

-

Long-term other accounts payable

558,228

 

628,818

 

-

 

-

 

163,447

 

465,371

 

-

Security deposits received

138,473

 

146,479

 

1,119

 

2,860

 

142,474

 

26

 

-

Lease liabilities

61,321

 

64,296

 

21,918

 

13,621

 

12,366

 

15,817

 

574

Derivative financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives

W

15,316

 

15,698

 

4,540

 

4,621

 

6,209

 

328

 

-

 Cash outflow

-

 

40,562

 

16,468

 

10,357

 

12,389

 

1,348

 

-

 Cash inflow

-

 

(24,864)

 

(11,928)

 

(5,736)

 

(6,180)

 

(1,020)

 

-

Total

W

18,497,919

 

19,153,062

 

6,885,082

 

2,176,464

 

6,165,817

 

3,766,279

 

159,420

 

(*) As of March 31, 2026, it includes W290,196 million of payable to credit card companies for utility expenses and others paid using business credit card for purchases.

 

 

 

 

 

36

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

ii) As of December 31, 2025

 

(In millions of won)

 

 

 

Contractual cash flows

 

 

Carrying amount

 

 

Total

 

6 months or less

 

6-12 months

 

1-2 years

 

2-5 years

 

More than

5 years

Non-derivative financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Borrowings

W

12,141,044

 

12,946,309

 

2,537,318

 

1,236,157

 

4,624,773

 

4,548,061

 

-

Bonds

 

523,094

 

538,548

 

198,654

 

213,751

 

126,143

 

-

 

-

Trade accounts and notes payable(*)

 

3,307,687

 

3,307,687

 

3,307,687

 

-

 

-

 

-

 

-

Other accounts payable(*)

 

1,461,014

 

1,462,662

 

1,432,529

 

30,133

 

-

 

-

 

-

Long-term other accounts payable

 

218,683

 

248,238

 

-

 

-

 

67,441

 

180,797

 

-

Security deposits received

 

138,384

 

147,478

 

480

 

4,109

 

142,864

 

25

 

-

Lease liabilities

 

59,678

 

62,604

 

23,122

 

14,889

 

10,342

 

14,095

 

156

Derivative financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives

W

9,553

 

7,157

 

3,027

 

2,416

 

1,792

 

(78)

 

-

 Cash outflow

 

-

 

325,920

 

18,751

 

13,131

 

292,017

 

2,021

 

-

 Cash inflow

 

-

 

(318,763)

 

(15,724)

 

(10,715)

 

(290,225)

 

(2,099)

 

-

Total

W

17,859,137

 

18,720,683

 

7,502,817

 

1,501,455

 

4,973,355

 

4,742,900

 

156

 

(*) As of December 31, 2025, it includes W704,529 million of payable to credit card companies for utility expenses and others paid using business credit card for purchases.

 

It is not expected that the cash flows included in the maturity analysis could occur significantly earlier, or at significantly different amounts.

 

37

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

(ii) Supplier Finance Arrangement

 

Supplier finance arrangements are characterized by one or more finance providers offering to pay amounts that the Group owes its suppliers and the Group agreeing to pay finance providers according to the terms and conditions of the arrangements at a date later than, when suppliers are paid. These arrangements provide the Group with extended payment terms, or the Group’s suppliers with early payment terms, compared to the related invoice payment due date.

 

The carrying amounts of financial liabilities from supplier finance arragement as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

December 31, 2025

 

 

Trade accounts and notes payable

 

Other Accounts Payable

 

Trade accounts and notes payable

 

Other Accounts Payable

Liabilities under supplier finance arrangement

 

 

 

 

 

 

 

 

Purchase Card (*1)

W

177,843

 

109,287

 

474,781

 

219,697

Electronic Trade Receivable-Secured Loan (*2)

 

71,414

 

129,780

 

53,667

 

142,872

Liabilities under supplier finance arrangement of which the supplier has received payment from the finance provider

 

 

 

 

 

 

 

 

Purchase Card (*1)

W

177,843

 

109,287

 

474,781

 

219,697

Electronic Trade Receivable-Secured Loan (*2)

 

2,134

 

17,450

 

2,138

 

12,465

 

(*1) The Group pays the settlement amount to the card company on the end date of credit term according to the card agreement. The Group uses purchase cards in agreement with the supplier, the amount paid to the card company is for the purchase of goods or services incurred in the normal course of business, with no change in the underlying purpose of the transaction, and the payment deadline to the card company falls within the normal business cycle of one year or less, and no collateral is provided in connection with this agreement. Therefore, it is classified as trade accounts and notes payable and other account payable and presented as operating and investing activities in the cash flow statement.

 

(*2) The Group enters into supplier finance arrangement with financial institutions to streamline the payment process and offer early payment terms to suppliers. Under the supplier finance arrangement, if a vendor that supplied goods or services to the Group transfers its account receivables to the financial institution within the payment due date, the Group pays the amount to the financial institution. There is no change in the original debt recognized as trade accounts and notes payable or other account payable because the supplier finance arrangement does not result in a substantive reduction of the Group’s payment obligation or a change in payment terms.

38

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

The range of payment due dates as of March 31, 2026 and December 31, 2025 are as follows:

 

 

 

March 31, 2026

 

December 31, 2025

Liabilities under supplier finance arrangement

 

 

 

 

Purchase Card

 

91~108 days

 

91~205 days

Electronic Trade Receivable-Secured Loan

 

45~124 days

 

45~123 days

Trade accounts and notes payable not covered by the supplier finance arrangement

 

5~124 days

 

5~123 days

 

There were no material business combinations or foreign exchange differences that would affect the liabilities under the supplier finance arrangement.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

39

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

(d)
Capital management

 

Management’s policy is to maintain a capital base so as to maintain investor, creditor and market confidence and to sustain future development of the business. Liabilities to equity ratio, net borrowings to equity ratio and other financial ratios are used by management to achieve an optimal capital structure. Management also monitors the return on capital as well as the level of dividends to ordinary shareholders. The Group is also responsible for complying with certain financial ratios as part of capital maintenance conditions imposed externally. To fulfill this responsibility, the Group regularly monitors these financial ratios and takes proactive measures when necessary.

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Total liabilities

W

19,522,523

 

19,077,462

Total equity

 

7,773,133

 

7,839,238

Cash and deposits in banks (*1)

 

1,524,837

 

1,572,658

Borrowings (including bonds)

 

13,735,118

 

12,664,138

Total liabilities to equity ratio

 

251%

 

243%

Net borrowings to equity ratio (*2)

 

157%

 

141%

(*1) Cash and deposits in banks consist of cash and cash equivalents and current deposits in banks.

 

(*2) Net borrowings to equity ratio is calculated by dividing total borrowings (including bonds and excluding lease liabilities and others) less cash and current deposits in banks by total equity.

 

 

(e)
Determination of fair value

 

(i)
Measurement of fair value

 

A number of the Group’s accounting policies and disclosures require the determination of fair value, for both financial and non-financial assets and liabilities. Fair values have been determined for measurement and/or disclosure purposes based on the following methods. When applicable, further information about the assumptions made in determining fair values is disclosed in the notes specific to that asset or liability.

 

40

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

(ii) Fair values versus carrying amounts

 

The fair values of financial assets and liabilities, together with the carrying amounts as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

December 31, 2025

 

 

Carrying amounts

 

Fair values

 

Carrying amounts

 

Fair values

Financial assets carried at amortized cost

 

 

 

 

 

 

 

 

Cash and cash equivalents

W

1,523,637

 

(*1)

 

1,572,058

 

(*1)

Deposits in banks

 

1,211

 

(*1)

 

611

 

(*1)

Trade accounts and notes receivable, net

 

1,603,131

 

(*1)

 

2,136,774

 

(*1)

Non-trade receivables, net

 

174,100

 

(*1)

 

145,426

 

(*1)

Accrued income, net

 

18,627

 

(*1)

 

34,987

 

(*1)

Deposits

 

12,472

 

(*1)

 

14,549

 

(*1)

Loans

 

8,033

 

(*1)

 

13,318

 

(*1)

Financial assets at fair value through profit or loss

 

 

 

 

 

 

 

 

Equity instruments

W

127,297

 

127,297

 

124,316

 

124,316

Derivatives

 

277,142

 

277,142

 

131,987

 

131,987

Financial assets at fair value through other comprehensive profit or loss

 

 

 

 

 

 

 

 

Trade accounts and notes receivable, net

W

578,551

 

(*1)

 

222,410

 

(*1)

Other financial assets

 

 

 

 

 

 

 

 

Lease receivables

 

3,629

 

(*1)

 

7,406

 

(*1)

Financial liabilities carried at amortized cost

 

 

 

 

 

 

 

 

Borrowings

W

13,248,998

 

13,301,969

 

12,141,044

 

12,170,751

Bonds

 

486,120

 

486,437

 

523,094

 

523,500

Trade accounts and notes payable

 

2,737,617

 

(*1)

 

3,307,687

 

(*1)

Other accounts payable

 

1,810,074

 

(*1)

 

1,679,697

 

(*1)

Security deposits received

 

138,473

 

(*1)

 

138,384

 

(*1)

Financial liabilities at fair value through profit or loss

 

 

 

 

 

 

 

 

Derivatives

W

15,316

 

15,316

 

9,553

 

9,553

Other financial liabilities

 

 

 

 

 

 

 

 

Lease liabilities

W

61,321

 

(*2)

 

59,678

 

(*2)

 

(*1) Excluded from disclosures as the carrying amount approximates fair value.

(*2) Excluded from the fair value disclosures in accordance with Korean IFRS 1107 ‘Financial Instruments: Disclosures’.

 

 

 

 

 

 

 

 

 

 

41

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

(iii) Fair values of financial assets and liabilities

 

i) Fair value hierarchy

 

Financial instruments carried at fair value are categorized into different levels in a fair value hierarchy based on the inputs used in the valuation techniques. The different levels have been defined as follows:

 

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities
Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or

liability, either directly or indirectly

Level 3: inputs for the asset or liability that are not based on observable market data

 

The Group measures fair value for financial reporting purposes, including fair value measurements, which are classified as “Level 3”. The Group consults on the fair value assessment process and its results in accordance with the financial reporting schedule, and recognizes changes in the "level" at the end of the reporting period when there is a change in events or circumstances that cause a shift between fair value levels.

42

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

ii) Assets and liabilities measured at fair value

 

Fair value hierarchy classifications of the financial instruments that are measured at fair value as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

Total

Classification

 

Level 1

 

Level 2

 

Level 3

 

 

 

Financial assets at fair value through profit or loss

 

 

Equity instruments

W

18,598

 

-

 

108,699

 

127,297

 

Derivatives

 

-

 

277,142

 

-

 

277,142

 

Financial liabilities at fair value through profit or loss

 

 

Derivatives

W

-

 

15,316

 

-

 

15,316

 

(In millions of won)

 

December 31, 2025

 

Total

Classification

 

Level 1

 

Level 2

 

Level 3

 

 

 

Financial assets at fair value through profit or loss

 

 

Equity instruments

W

21,008

 

-

 

103,308

 

124,316

 

Derivatives

 

-

 

131,987

 

-

 

131,987

 

Financial liabilities at fair value through profit or loss

 

 

Derivatives

W

-

 

9,553

 

-

 

9,553

 

 

 

 

 

 

 

 

 

 

 

43

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

The valuation techniques and inputs for assets and liabilities measured at fair value those are classified as Level 2 and Level 3 within the fair value hierarchy as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

December 31, 2025

 

Valuation technique

 

Input

Classification

 

Level 2

 

Level 3

 

Level 2

 

Level 3

 

 

 

 

Financial assets at fair value through profit or loss

 

 

 

 

 

 

 

 

 

 

 

 

Equity instruments

W

-

 

108,699

 

-

 

103,308

 

Net asset value method and Comparable company analysis

 

Price to book value ratio

Derivatives

 

277,142

 

-

 

131,987

 

-

 

Discounted cash flow

 

Discount rate and Exchange rate

Financial liabilities at fair value through profit or loss

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives

W

15,316

 

-

 

9,553

 

-

 

Discounted cash flow

 

Discount rate and Exchange rate

 

44

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

iii) Financial instruments not measured at fair value but for which the fair value is disclosed

 

Fair value hierarchy classifications, valuation techniques and inputs for fair value measurements of the financial instruments not measured at fair value but for which the fair value is disclosed as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

Valuation technique

 

Input

Classification

 

Level 1

 

Level 2

 

Level 3

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

Borrowings

W

-

 

-

 

13,301,969

 

Discounted cash flow

 

Discount rate

 

Bonds

 

-

 

-

 

486,437

 

Discounted cash flow

 

Discount rate

 

 

(In millions of won)

 

December 31, 2025

 

Valuation technique

 

Input

Classification

 

Level 1

 

Level 2

 

Level 3

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

Borrowings

W

-

 

-

 

12,170,751

 

Discounted cash flow

 

Discount rate

 

Bonds

 

-

 

-

 

523,500

 

Discounted cash flow

 

Discount rate

 

 

iv) The interest rates applied for determination of the above fair value as of March 31, 2026 and December 31, 2025 are as follows:

 

 

 

March 31, 2026

 

December 31, 2025

Borrowings, bonds and others

 

3.09%~4.13%

 

3.32%~3.90%

 

 

 

 

 

45

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

24. Financial Risk Management, Continued

 

v) There is no transfer between Level 1, Level 2 and Level 3 for the three-month periods ended March 31, 2026 and 2025, and the changes in financial assets classified as Level 3 of fair value measurements for the three-month periods ended March 31, 2026 and 2025 is as follows:

 

(In millions of won)

Classification

 

January 1, 2026

 

Acquisition

 

Disposal

 

Valuation

 

Changes in Foreign Exchange Rates

 

March 31, 2026

Equity instruments

W

103,308

 

1,851

 

(1,907)

 

-

 

5,447

 

108,699

 

(In millions of won)

Classification

 

January 1, 2025

 

Acquisition

 

Disposal

 

Valuation

 

Changes in Foreign Exchange Rates

 

March 31, 2025

Equity instruments

W

101,543

 

727

 

-

 

-

 

(228)

 

102,042

Convertible securities

 

1,470

 

-

 

-

 

-

 

(3)

 

1,467

 

 

 

 

46

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

25. Cash Flow Information

 

(a) Details of cash flows generated from operations for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

2026

 

2025

Loss for the period

W

(575,714)

 

(237,032)

Adjustments for:

W

 

 

 

  Income tax expense

 

53,503

 

88,537

  Depreciation and amortization (Note 19)

 

994,284

 

1,197,852

  Gain on foreign currency translation

 

(155,662)

 

(100,691)

  Loss on foreign currency translation

 

538,664

 

93,944

  Post-employment benefit (Note 13)

 

26,028

 

35,363

  Gain on disposal of property, plant and equipment

 

(11,081)

 

(8,560)

  Loss on disposal of property, plant and equipment

 

18,576

 

21,727

  Impairment loss on property, plant and equipment

 

1,378

 

2,263

  Impairment loss on intangible assets

 

6,604

 

453

  Expense on increase of provisions

 

15,706

 

17,088

  Finance income

 

(198,617)

 

(117,458)

  Finance costs

 

412,288

 

253,105

  Equity in income of equity method accounted investees, net

 

(1,534)

 

(133)

Others

 

(1,989)

 

(225)

Changes in:

W

 

 

 

  Trade accounts and notes receivable

 

363,807

 

57,663

  Other accounts receivable

 

(8,150)

 

68,164

  Inventories

 

(83,683)

 

(250,434)

  Other current assets

 

(66,586)

 

(4,638)

  Other non-current assets

 

(10,754)

 

(10,618)

  Trade accounts and notes payable

 

(802,518)

 

(83,134)

  Other accounts payable

 

(248,818)

 

(10,749)

  Accrued expenses

 

(219,225)

 

(127,136)

  Provisions

 

(28,151)

 

(26,390)

  Advances received

 

32,473

 

(8,075)

Proceeds from settlement of derivatives

 

-

 

21,474

  Other current liabilities

 

(9,433)

 

(32,917)

  Defined benefit liabilities (assets), net

 

(3,933)

 

18,296

  Other non-current liabilities

 

(470)

 

1,193

Cash generated from operations

W

36,993

 

858,932

 

 

47

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

25. Cash Flow Information, Continued

 

(b)
Changes in liabilities arising from financing activities for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

 

 

January 1, 2026

 

 

 

Non-cash transactions

 

 

 

 

 

 

Cash flows from financing activities

 

Gain or loss on foreign currency translation

 

Interest expense

 

Others

 

March 31, 2026

Short-term borrowings

W

810,718

 

955,701

 

66,597

 

-

 

-

 

1,833,016

Long-term borrowings

 

11,330,326

 

(355,103)

 

438,611

 

2,148

 

-

 

11,415,982

Bonds

 

523,094

 

(45,000)

 

7,850

 

176

 

-

 

486,120

Security deposits received

 

138,384

 

-

 

-

 

-

 

89

 

138,473

Lease liabilities

 

59,678

 

(11,538)

 

1,456

 

-

 

11,725

 

61,321

Total

W

12,862,200

 

544,060

 

514,514

 

2,324

 

11,814

 

13,934,912

 

(In millions of won)

 

 

 

 

 

 

 

 

 

January 1, 2025

 

 

 

Non-cash transactions

 

 

 

 

 

 

Cash flows from financing activities

 

Gain or loss on foreign currency translation

 

Interest expense

 

Others

 

March 31, 2025

Short-term borrowings

W

969,595

 

333,229

 

396

 

-

 

-

 

1,303,220

Long-term borrowings

 

12,442,680

 

302,921

 

(1,417)

 

2,879

 

1,009

 

12,748,072

Bonds

 

1,137,839

 

(612,000)

 

(349)

 

284

 

-

 

525,774

Security deposits received

 

160,713

 

-

 

-

 

 -

 

2,033

 

162,746

Lease liabilities

 

57,975

 

(16,081)

 

1,758

 

-

 

34,648

 

78,300

Dividend payable

 

6,390

 

(6,390)

 

-

 

 -

 

-

 

-

Total

W

14,775,192

 

1,679

 

388

 

3,163

 

37,690

 

14,818,112

 

48

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

26. Related Parties and Others

 

(a) Related parties

 

Details of related parties as of March 31, 2026 are as follows:

 

Classification

 

Description

Associates (*)

 

Paju Electric Glass Co., Ltd. and others

Entity that has significant influence over the Parent Company

 

LG Electronics Inc.

Subsidiaries of the entity that has significant influence over the Parent Company

 

Subsidiaries of LG Electronics Inc.

 

(*) Details of associates are described in Note 8.

 

 

 

49

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

26. Related Parties and Others, Continued

 

(b) Details of major transactions with related parties for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

2026

 

 

 

 

 

 

Purchase and others

 

 

Sales

and others

 

Dividend income

 

Purchase of raw material and others

 

Others (*)

Associates

 

 

 

 

 

 

 

 

Paju Electric Glass Co., Ltd.

W

-

 

3,415

 

61,146

 

2,327

Material Science Co., Ltd.

 

-

 

-

 

1,383

 

468

Entity that has significant influence over the Parent Company

 

 

 

 

 

 

 

 

LG Electronics Inc.

W

109,745

 

-

 

4,470

 

69,993

Subsidiaries of the entity that has significant influence over the Parent Company

 

 

 

 

 

 

 

 

LG Electronics India Pvt. Ltd.

W

4,395

 

-

 

-

 

10

LG Electronics Vietnam Haiphong Co., Ltd.

 

70,525

 

-

 

-

 

1,085

LG Electronics Nanjing New Technology Co., Ltd.

 

36,723

 

-

 

-

 

49

LG Electronics do Brasil Ltda.

 

1,487

 

-

 

-

 

11

LG Innotek Co., Ltd.

 

2,001

 

-

 

-

 

27,010

LG Electronics Mlawa Sp. z o.o.

 

184,720

 

-

 

-

 

154

LG Electronics Reynosa S.A. DE C.V.

 

186,164

 

-

 

-

 

213

LG Electronics Egypt S.A.E

 

3,224

 

-

 

-

 

4

LG Electronics Japan, Inc.

 

-

 

-

 

-

 

1,497

P.T. LG Electronics Indonesia

 

99,656

 

-

 

-

 

145

HI-M Solutek Co., Ltd

 

-

 

-

 

-

 

4,274

Others

 

154

 

-

 

-

 

1,243

Total

W

698,794

 

3,415

 

66,999

 

108,483

(*) Others include the amount of the acquisition of property, plant, and equipment.

 

50

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

26. Related Parties and Others, Continued

 

(In millions of won)

 

2025

 

 

 

 

 

 

Purchase and others

 

 

Sales

and others

 

Dividend income

 

Purchase of raw material and others

 

Others (*)

Associates

 

 

 

 

 

 

 

 

Paju Electric Glass Co., Ltd.

W

-

 

1,664

 

63,764

 

2,445

Material Science Co., Ltd.

 

-

 

-

 

157

 

-

Entity that has significant influence over the Parent Company

 

 

 

 

 

 

 

 

LG Electronics Inc.

W

75,412

 

-

 

3,524

 

54,993

Subsidiaries of the entity that has significant influence over the Parent Company

 

 

 

 

 

 

 

 

LG Electronics India Pvt. Ltd.

W

7,222

 

-

 

-

 

23

LG Electronics Vietnam Haiphong Co., Ltd.

 

50,377

 

-

 

-

 

295

LG Electronics Nanjing New Technology Co., Ltd.

 

66,540

 

-

 

-

 

205

LG Electronics do Brasil Ltda.

 

11,533

 

-

 

-

 

17

LG Innotek Co., Ltd.

 

2,345

 

-

 

7,925

 

13,731

LG Electronics Mlawa Sp. z o.o.

 

202,149

 

-

 

-

 

363

LG Electronics Reynosa S.A. DE C.V.

 

230,244

 

-

 

-

 

583

LG Electronics Egypt S.A.E

 

3,010

 

-

 

-

 

3

LG Electronics Japan, Inc.

 

-

 

-

 

-

 

1,519

P.T. LG Electronics Indonesia

 

134,630

 

-

 

-

 

238

HI-M Solutek Co., Ltd

 

-

 

-

 

-

 

3,274

Others

 

100

 

-

 

79

 

1,153

Total

W

783,562

 

1,664

 

75,449

 

78,842

(*) Others include the amount of the acquisition of property, plant, and equipment.

51

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

26. Related Parties and Others, Continued

 

(c) Details of balances of receivables and payables from transactions with related parties as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

Trade accounts and notes receivable

and others

 

Trade accounts and notes payable

and others

 

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

Associates

 

 

 

 

 

 

 

 

Paju Electric Glass Co., Ltd.

W

-

 

-

 

45,199

 

62,277

Material Science Co., Ltd.

 

-

 

-

 

769

 

385

Entity that has significant influence over the Parent Company

 

 

 

 

 

 

 

 

LG Electronics Inc.

W

114,561

 

95,844

 

59,926

 

88,184

Subsidiaries of the entity that has significant influence over the Parent Company

 

 

 

 

 

 

 

 

LG Electronics Vietnam Haiphong Co., Ltd.

W

30,874

 

41,403

 

10

 

12

LG Electronics Nanjing New Technology Co., Ltd.

 

20,988

 

19,036

 

10

 

9

LG Innotek Co., Ltd. (*)

 

1,200

 

2,102

 

175,236

 

173,625

LG Electronics Mlawa Sp. z o.o.

 

70,184

 

101,105

 

57

 

11

LG Electronics Reynosa S.A. DE C.V.

 

68,573

 

87,555

 

36

 

-

P.T. LG Electronics Indonesia

 

20,917

 

23,766

 

4

 

36

LG Innotek USA, Inc.

W

2,727

 

2,688

 

-

 

-

Others

 

6,536

 

4,937

 

5,971

 

3,966

Total

W

336,560

 

378,436

 

287,218

 

328,505

 

(*) Trade accounts and note payable and others for LG Innotek Co., Ltd. includes deposits received from lease agreement of W139,500 million as of March 31, 2026 and December 31, 2025.

 

52

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

26. Related Parties and Others, Continued

 

 

(d) There were no significant financial transactions with related parties and others for the three-month periods ended March 31, 2026 and 2025.

 

53

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

26. Related Parties and Others, Continued

 

(e) Large Enterprise Group Transactions

 

According to the 'Related Party Disclosures' under the Korean IFRS 1024, although not included in the scope of related parties, the major transaction details with the Large Enterprise Group subsidiaries and their affiliates, as well as the amounts of receivables and payables for the three-month periods ended March 31, 2026 and 2025, and as of March 31, 2026 and December 31, 2025, in accordance with the Monopoly Regulation and Fair Trade Act, are as follows:

 

(In millions of won)

 

 

For the three-month period ended March 31, 2026

 

March 31, 2026

 

 

Sales

and others

 

Purchase

and others

 

Trade accounts and notes receivable

and others

 

Trade accounts and notes payable

and others

LG Uplus Corp.

W

-

 

558

 

-

 

148

LG Chem Ltd. and its subsidiaries

 

100

 

86,006

 

161

 

90,503

D&O Corp. and its subsidiaries

 

65

 

3,241

 

173

 

1,668

LG Corp. (*)

 

-

 

12,472

 

7,096

 

-

LG Management Development Institute

 

-

 

12,548

 

3

 

620

LG CNS Co., Ltd. and its subsidiaries

 

41

 

49,600

 

9

 

46,878

LG Household & Health Care Ltd. and its subsidiaries

 

-

 

12

 

-

 

-

HSAD Inc. and its subsidiaries

 

-

 

301

 

-

 

299

Robostar Co., Ltd.

 

-

 

884

 

-

 

947

Total

W

206

 

165,622

 

7,442

 

141,063

 

 

(*) According to the lease agreement signed with LG Corp., the recognized lease liabilities as of March 31, 2026 are W3,472 million, and the lease liabilities are not included in the amount of 'Trade accounts and notes payable and others' above. The amount of lease repayment for the three-month period ended March 31, 2026 is W1,178 million.

54

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

26. Related Parties and Others, Continued

 

(In millions of won)

 

 

For the three-month period ended March 31, 2025

 

December 31, 2025

 

 

Sales

and others

 

Purchase

and others

 

Trade accounts and notes receivable

and others

 

Trade accounts and notes payable and others

LG Uplus Corp.

W

-

 

591

 

-

 

163

LG Chem Ltd. and its subsidiaries

 

103

 

92,972

 

59

 

55,879

D&O Corp. and its subsidiaries

 

-

 

-

 

-

 

4,996

LG Corp. (*)

 

-

 

14,009

 

6,911

 

12

LG Management Development Institute

 

-

 

9,679

 

3

 

386

LG CNS Co., Ltd. and its subsidiaries

 

33

 

52,907

 

4

 

107,292

LG Household & Health Care Ltd. and its subsidiaries

 

-

 

38

 

-

 

-

HSAD Inc. and its subsidiaries

 

-

 

525

 

-

 

127

Robostar Co., Ltd.

 

-

 

68

 

-

 

59

Total

W

136

 

170,789

 

6,977

 

168,914

 

(*) According to the lease agreement signed with LG Corp., the recognized lease liabilities as of December 31, 2025 are W4,607 million, and the lease liabilities are not included in the amount of 'Trade accounts and notes payable and others' above. The amount of lease repayment for the three-month period ended March 31, 2025 is W1,727 million.

 

 

 

 

 

 

55

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

26. Related Parties and Others, Continued

 

(f) Key management personnel compensation

 

Details of compensation costs of key management for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

2026

 

2025

Short-term benefits

W

1,550

 

600

Post-employment benefit

 

97

 

93

Total

W

1,647

 

693

 

Key management refers to the registered directors who have significant control and responsibilities over the Parent Company’s operations and business.

 

(g) At the end of the reporting period, the Group did not set an allowance for doubtful accounts on the balance of receivables for related parties.

 

56

 


LG DISPLAY CO., LTD. AND ITS SUBSIDIARIES

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

27. Assets and Liabilities Held for Sale (Disposal Group)

 

The management of the Group decided to transfer the Auto Display LCD module business of its subsidiary, LG Display Nanjing Co., Ltd., in order to enhance its business structure and strengthen its profitability, and entered into a business transfer agreement on February 9, 2026. The sale is expected to be completed within one year from the date of the agreement. Accordingly, for the period ended March 31, 2026, the assets and liabilities related to the Auto Display LCD module business of LG Display Nanjing Co., Ltd. have been classified as assets and liabilities held for sale.

 

57

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

LG DISPLAY CO., LTD.

Condensed Separate Interim Financial Statements

(Unaudited)

March 31, 2026 and 2025

(With Report on Review of Condensed Interim Financial Statements)

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Contents

 

 

 

 

Page

 

 

 

 

 

 

Report on Review of Condensed Interim Financial Statements

 

1

 

 

 

Separate Interim Statements of Financial Position

 

3

 

 

 

Separate Interim Statements of Comprehensive Income (Loss)

 

4

 

 

 

Separate Interim Statements of Changes in Equity

 

5

 

 

 

Separate Interim Statements of Cash Flows

 

6

 

 

 

Notes to the Condensed Separate Interim Financial Statements

 

7

 

 

 

 

 


img98234657_0.jpg

 

Report on Review of Condensed Interim Financial Statements

 

(English Translation of a Report Originally Issued in Korean)

 

 

 

 

To the Shareholders and Board of Directors of

LG Display Co., Ltd.

 

 

 

 

Reviewed Financial Statements

We have reviewed the accompanying condensed interim financial statements of LG Display Co., Ltd. (referred to as the “Company”). These condensed interim financial statements consist of the interim statement of financial position of the Company as at March 31, 2026, and the related interim statements of comprehensive income, changes in equity and cash flows for the three-month periods ended March 31, 2026 and 2025, and material accounting policy information and other selected explanatory notes, expressed in Korean won.

 

 

Management's Responsibility for the Financial Statements

Management is responsible for the preparation and presentation of these condensed interim financial statements in accordance with International Financial Reporting Standards as adopted by the Republic of Korea (Korean IFRS) 1034 Interim Financial Reporting, and for such internal control as management determines is necessary to enable the preparation of condensed interim financial statements that are free from material misstatement, whether due to fraud or error.

 

 

Auditor's Responsibility

Our responsibility is to express a conclusion on these condensed interim financial statements based on our review.

 

We conducted our review in accordance with quarterly or semi-annual review standards established by the Securities and Futures Commission of the Republic of Korea. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Korean Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

 

 

Conclusion

Based on our review, nothing has come to our attention that causes us to believe the accompanying condensed interim financial statements are not prepared, in all material respects, in accordance with Korean IFRS 1034 Interim Financial Reporting.

 

 

 

 

img98234657_1.jpg


 

Other Matters

We have audited the statement of financial position of the Company as at December 31, 2025, and the related statements of comprehensive income, changes in equity and cash flows for the year then ended, not presented herein, in accordance with Korean Standards on Auditing. We expressed an unqualified opinion on those financial statements in our audit report dated February 27, 2026. The statement of financial position as at December 31, 2025, presented herein for comparative purposes, is consistent, in all material respects, with the above audited statement of financial position as at December 31, 2025.

 

Review standards and their application in practice vary among countries. The procedures and practices used in the Republic of Korea to review such financial statements may differ from those generally accepted and applied in other countries.

 

 

 

 

 

 

 

 

May 13, 2026

Seoul, Korea

 

 

 

 

This report is effective as of May 13, 2026, the review report date. Certain subsequent events or circumstances, which may occur between the review report date and the time of reading this report, could have a material impact on the accompanying condensed interim financial statements and notes thereto. Accordingly, the readers of the review report should understand that there is a possibility that the above review report may have to be revised to reflect the impact of such subsequent events or circumstances, if any.

 

2


 

LG DISPLAY CO., LTD.

Separate Interim Statements of Financial Position

As of March 31, 2026 and December 31, 2025

 

 

 

 

 

(In millions of won)

 

Note

 

March 31, 2026

(Unaudited)

 

December 31, 2025

Assets

 

 

 

 

 

 

Cash and cash equivalents

 

4, 23

W

439,935

 

248,729

Trade accounts and notes receivable, net

 

5, 15, 23, 25

 

2,532,002

 

3,140,538

Other accounts receivable, net

 

5, 23

 

157,955

 

169,179

Other current financial assets

 

6, 23

 

135,974

 

77,249

Inventories, net

 

7

 

1,971,434

 

1,793,510

Prepaid income tax

 

 

 

1,696

 

1,585

Other current assets

 

 

 

161,878

 

86,341

         Total current assets

 

 

 

5,400,874

 

5,517,131

Deposits in banks

 

4, 23

 

11

 

11

Investments, net

 

8

 

3,810,413

 

3,810,085

Other non-current accounts receivable, net

5, 23

 

4,379

 

5,029

Other non-current financial assets

 

6, 23

 

171,935

 

93,508

Property, plant and equipment, net

 

9

 

9,984,431

 

10,298,784

Intangible assets, net

 

10

 

1,721,480

 

1,427,602

Investment property

 

11

 

17,860

 

18,031

Deferred tax assets, net

 

 

 

3,378,702

 

3,422,353

Defined benefits assets, net

 

13

 

169,831

 

198,288

Other non-current assets

 

 

 

30,743

 

20,300

         Total non-current assets

 

 

 

19,289,785

 

19,293,991

         Total assets

 

 

W

24,690,659

 

24,811,122

Liabilities

 

 

 

 

 

 

Trade accounts and notes payable

 

23, 25

W

9,382,774

 

9,711,618

Current financial liabilities

 

12, 23, 24, 25

 

4,691,528

 

3,870,697

Other accounts payable

 

23

 

980,063

 

1,151,778

Accrued expenses

 

 

 

411,552

 

589,096

Provisions

 

14

 

81,641

 

85,559

Advances received

 

 

 

64,121

 

29,058

Other current liabilities

 

 

 

67,133

 

68,662

         Total current liabilities

 

 

 

15,678,812

 

15,506,468

Non-current financial liabilities

 

12, 23, 24

 

5,084,783

 

4,992,576

Non-current provisions

 

14

 

46,860

 

55,345

Other non-current liabilities

 

23, 25

 

757,910

 

485,028

         Total non-current liabilities

 

 

 

5,889,553

 

5,532,949

         Total liabilities

 

 

 

21,568,365

 

21,039,417

Equity

 

 

 

 

 

 

Share capital

 

16

W

2,500,000

 

2,500,000

Capital surplus

 

16

 

2,821,006

 

2,821,006

Accumulated deficit

 

 

 

(2,198,712)

 

(1,549,301)

         Total equity

 

 

 

3,122,294

 

3,771,705

         Total liabilities and equity

 

 

W

24,690,659

 

24,811,122

 

 

 

 

 

 

 

 

 

 

 

 

 

 

See accompanying notes to the condensed separate interim financial statements.

 

 

 

 

 

 

 

 

 

3


 

LG DISPLAY CO., LTD.

Separate Interim Statements of Comprehensive Income (Loss)

For the three-month periods ended March 31, 2026 and 2025

 

 

 

 

 

 

 

 

 

 

 

 

(In millions of won, except loss per share amounts)

 

 

 

 

 

 

 

 

 

 

 

Note

 

2026

(Unaudited)

 

2025

(Unaudited)

Revenue

17, 25

W

5,228,527

 

5,620,066

Cost of sales

7, 18, 25

 

(4,822,803)

 

(5,373,959)

Gross profit

 

 

405,724

 

246,107

Selling expenses

18, 19

 

(48,607)

 

(56,995)

Administrative expenses

18, 19

 

(127,907)

 

(130,175)

Research and development expenses

18

 

(330,262)

 

(347,894)

Operating loss

 

 

(101,052)

 

(288,957)

Finance income

21

 

205,869

 

232,034

Finance costs

21

 

(391,481)

 

(253,157)

Other non-operating income

20

 

376,549

 

237,940

Other non-operating expenses

20

 

(690,870)

 

(258,249)

Loss before income tax

 

 

(600,985)

 

(330,389)

Income tax expense

 

 

(44,529)

 

(34,204)

Loss for the period

 

 

(645,514)

 

(364,593)

Other comprehensive income (loss)

 

 

 

 

 

Items that will not be reclassified to profit or loss

 

 

 

 

 

Remeasurements of net defined benefit liabilities

 

 

(3,897)

 

126

Other comprehensive income (loss) for the period, net of income tax

 

 

(3,897)

 

126

Total comprehensive loss for the period

 

W

(649,411)

 

(364,467)

Loss per share (in won)

 

 

 

 

 

Basic loss per share

22

W

(1,291)

 

(729)

Diluted loss per share

22

W

(1,291)

 

(729)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

See accompanying notes to the condensed separate interim financial statements.

 

 

4


 

LG DISPLAY CO., LTD.

Separate Interim Statements of Changes in Equity

For the three-month periods ended March 31, 2026 and 2025

 

 

 

 

 

 

 

 

 

 

 

 

 

Share

capital

 

Capital surplus

 

Accumulated deficit

 

Other

capital

 

Total

equity

(In millions of won)

 

 

 

 

 

 

 

 

 

 

Balances at January 1, 2025

W

2,500,000

 

2,821,006

 

(1,525,208)

 

-

 

3,795,798

Total comprehensive loss for the period

 

 

 

 

 

 

 

 

 

 

Loss for the period

 

-

 

-

 

(364,593)

 

-

 

(364,593)

Other comprehensive income (loss)

 

 

 

 

 

 

 

 

 

 

  Remeasurements of net defined benefit liabilities

 

-

 

-

 

126

 

-

 

126

Total comprehensive loss for the period

W

-

 

-

 

(364,467)

 

-

 

(364,467)

Balances at March 31, 2025 (Unaudited)

W

2,500,000

 

2,821,006

 

(1,889,675)

 

-

 

3,431,331

Balances at January 1, 2026

W

2,500,000

 

2,821,006

 

(1,549,301)

 

-

 

3,771,705

Total comprehensive loss for the period

 

 

 

 

 

 

 

 

 

 

Loss for the period

 

-

 

-

 

(645,514)

 

-

 

(645,514)

Other comprehensive income (loss)

 

 

 

 

 

 

 

 

 

 

  Remeasurements of net defined benefit liabilities

 

-

 

-

 

(3,897)

 

-

 

(3,897)

Total comprehensive loss for the period

W

-

 

-

 

(649,411)

 

-

 

(649,411)

Balances at March 31, 2026 (Unaudited)

W

2,500,000

 

2,821,006

 

(2,198,712)

 

-

 

3,122,294

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

See accompanying notes to the condensed separate interim financial statements.

5


 

 

LG DISPLAY CO., LTD.

 

 

 

 

 

Separate Interim Statements of Cash Flows

 

 

 

 

 

For the three-month periods ended March 31, 2026 and 2025

 

 

 

 

 

 

 

 

 

(In millions of won)

 

Note

 

2026

(Unaudited)

 

2025

(Unaudited)

Cash flows from (used in) operating activities:

 

 

 

 

 

  Cash generated from (used in) operations

24

W

(30,544)

 

776,958

  Income taxes paid

 

 

(507)

 

(5,817)

  Interest received

 

 

2,342

 

6,732

  Interest paid

 

 

(110,688)

 

(135,094)

Cash flows from (used in) operating activities

 

 

(139,397)

 

642,779

Cash flows from (used in) investing activities:

 

 

 

 

 

  Dividends received

 

 

3,415

 

102,134

Acquisition of financial assets at fair value through profit or loss

 

 

(1,851)

 

-

  Proceeds from disposal of financial assets at fair value through profit or loss

 

 

2,089

 

34

  Acquisition of investments

 

 

(328)

 

(52,728)

  Proceeds from disposal of investments

 

 

-

 

17,200

  Acquisition of property, plant and equipment

 

 

(216,872)

 

(266,629)

  Proceeds from disposal of property, plant and equipment

 

 

5,279

 

65,332

  Acquisition of intangible assets

 

 

(158,560)

 

(180,801)

  Proceeds from settlement of derivatives

 

 

37,172

 

65,509

  Decrease in short-term loans

 

 

4,345

 

5,929

  Increase in deposits

 

 

(36)

 

-

  Decrease in deposits

 

 

1,831

 

1,797

Cash flows used in investing activities

 

 

(323,516)

 

(242,223)

Cash flows from (used in) financing activities:

24

 

 

 

 

  Proceeds from short-term borrowings

 

 

3,039,574

 

2,508,249

  Repayments of short-term borrowings

 

 

(2,439,891)

 

(2,483,785)

  Repayments of current portion of bonds

 

 

(45,000)

 

(612,000)

  Proceeds from long-term borrowings

 

 

815,000

 

723,325

  Repayments of current portion of long-term borrowings

 

 

(714,828)

 

(638,413)

  Payment guarantee fee received

 

 

1,344

 

1,832

  Payments of lease liabilities

 

 

(2,080)

 

(2,907)

Cash flows from (used in) financing activities

 

 

654,119

 

(503,699)

Net increase (decrease) in cash and cash equivalents

 

 

191,206

 

(103,143)

Cash and cash equivalents at January 1

 

 

248,729

 

238,477

Cash and cash equivalents at March 31

 

W

439,935

 

135,334

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

See accompanying notes to the condensed separate interim financial statements.

 

 

 

 

6


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

1. Organization and Description of Business

 

LG Display Co., Ltd. (the "Company") was incorporated in February 1985 and the Company has been a public corporation listed on the Korea Exchange since 2004. The main business of the Company is to manufacture and sell displays and its related products. As of March 31, 2026, the Company operates Thin Film Transistor Liquid Crystal Display (“TFT-LCD”) and Organic Light Emitting Diode (“OLED”) panel manufacturing plants in Gumi, Paju and China and TFT-LCD and OLED module manufacturing plants in Gumi, Paju, China and Vietnam. The Company is domiciled in the Republic of Korea with its address at 128 Yeoui-daero, Yeongdeungpo-gu, Seoul. As of March 31, 2026, LG Electronics Inc., a major shareholder of the Company, owns 36.72% (183,593,206 shares) of the Company’s common stock.

 

As of March 31, 2026, 500,000,000 shares of the Company's common stock are listed on the Korea Exchange under the identifying code 034220, and 40,481,566 American Depositary Shares ("ADSs"; 2 ADSs represent one share of common stock) are listed on the New York Stock Exchange under the symbol "LPL".

 

 

2. Basis of Preparation

 

(a) Application of accounting standards

 

The Company's condensed separate interim financial statements have been prepared in accordance with International Financial Reporting Standard as adopted by the Republic of Korea (Korean IFRS) 1034 Interim Financial Reporting. These condensed separate interim financial statements do not include all of the information required for full annual financial statements and should be read in conjunction with the separate financial statements of the Company as of and for the year ended December 31, 2025.

 

(b) Basis of Measurement

 

The condensed separate interim financial statements have been prepared on the historical cost basis except for the following material items in the separate statement of financial position:

 

derivative financial instruments at fair value, financial assets at fair value through profit or loss (“FVTPL”), financial assets at fair value through other comprehensive income (“FVOCI”), financial liabilities at fair value through profit or loss (“FVTPL”), and
net defined benefit liabilities (defined benefit assets) recognized at the present value of defined benefit obligations less the fair value of plan assets.

 

(c) Functional and Presentation Currency

 

Items included in the financial statements are measured using the currency of the primary economic environment in which each entity operates (the “functional currency"). The separate financial statements are presented in Korean won, which is the Company’s functional currency.

 

(d) Estimates and Judgments

 

The preparation of the condensed separate interim financial statements in conformity with Korean IFRS requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. The actual results may differ from the estimates at the end of the interim reporting period which are based on management’s best estimate, as the underlying assumptions may vary from actual outcomes.

 

7


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

2. Basis of Preparation, Continued

 

(e) Accounting standards and Interpretation issued and adopted by the Company

 

The Company has applied the following standards and amendments for the first time for their annual reporting period commencing January 1, 2026.

(i)
Amendments to Korean IFRS 1109 Financial Instruments, Korean IFRS 1107 Financial Instruments: Disclosures

 

Korean IFRS 1109 Financial Instruments and Korean IFRS 1107 Financial Instruments: Disclosures have been amended to respond to recent questions arising in practice, and to include new requirements.

 

-
clarify the date of recognition and derecognition of some financial assets and liabilities, with a new exception for some financial liabilities settled through an electronic cash transfer system;
-
clarify and add further guidance for assessing whether a financial asset meets the solely payments of principal and interest (SPPI) criterion;
-
add new disclosures of impact on the entity and the extent to which the entity is exposed for each type of financial instruments if the timing or amount of contractual cash flow changes due to amendment of contract term; and
-
update the disclosures for equity instruments designated at fair value through other comprehensive income (FVOCI).

 

(ii)
Annual Improvements to Korean IFRS - Volume 11

 

Annual Improvements to Korean IFRS - Volume 11 should be applied for annual periods beginning on or after January 1, 2026.

 

-
Korean IFRS 1101 First-time Adoption of International Financial Reporting Standards: Hedge accounting by a first-time adopter
-
Korean IFRS 1107 Financial Instruments: Disclosures: Gain or loss on derecognition and implementation guidance
-
Korean IFRS 1109 Financial Instruments: Derecognition of lease liabilities and definition of transaction price
-
Korean IFRS 1110 Consolidated Financial Statements: Determination of a ‘de facto agent’
-
Korean IFRS 1007 Statement of Cash Flows: Cost method

 
(iii)
Amendments to Korean IFRS 1109 Financial Instruments and Korean IFRS 1107 Financial Instruments: Disclosures - Contracts Referencing Nature-dependent Electricity

 

Contracts referencing nature-dependent electricity are defined contracts that expose an entity to variability in the underlying amount of electricity because the source of electricity generation depends on uncontrollable natural conditions (for example, the weather). The amendments clarify that ‘contracts to buy or sell such electricity’ are assessed for eligibility under the own-use exemption. In addition, the amendments modify hedge accounting requirements by allowing an entity to designate as the hedged item a variable nominal amount of forecast electricity transactions that reflect the nature-dependent variability of electricity and introduce additional disclosure requirements.

 

 

 

 

 

 

 

 

 

 

8


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

 

 

 

2. Basis of Preparation, Continued

 

(f) Accounting standards and Interpretation issued but not yet adopted by the Company

 

The Accounting standards and Interpretation issued that have been enacted or amended but have not been applied because the effective date has not arrived are as follows:

 

(i)
Korean IFRS 1118 Presentation and Disclosure in Financial Statements

 

Korean IFRS 1118 Presentation and Disclosure in Financial Statements replaces Korean IFRS 1001 Presentation of Financial Statements. Korean IFRS 1118 is expected to increase comparability of the financial performance of similar entities by providing users with more useful information for analyzing and comparing the entity's performance based on the income statement.

 

Korean IFRS 1118 should be first applied for annual periods beginning on or after January 1, 2027, and earlier application is permitted. In accordance with Korean IFRS 1008 Accounting Policies, Changes in Accounting Estimates and Errors, the comparative information for the year ended December 31, 2026, shall be restated under Korean IFRS 1118 as the Company is required to apply the standard retrospectively.

 

Management is in review for the impact of applying the new standard on separate financial statements. Adoption of the standard is not expected to have an impact on the Company's net profit or loss; however, it will require income and expenses in the income statements to be classified into new categories, which is expected to have an impact on the calculation and presentation of operating profit (loss).

 

(g) Income Tax Expense

 

The Company is within the scope of the Pillar Two model rules, and applied the exception to recognizing and disclosing information about deferred tax.

 

 

9


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

3. Accounting Policies

 

The accounting policies followed by the Company in the preparation of its condensed separate interim financial statements are the same as those followed by the Company in its preparation of the separate financial statements as of and for the year ended December 31, 2025, except for the application of Korean IFRS 1034 Interim Financial Reporting.

 

 

4. Cash and Cash Equivalents and Deposits in Banks

Details of cash and cash equivalents and deposits in banks as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Current assets

 

 

 

 

Cash and cash equivalents

 

 

 

 

Deposits

W

439,935

 

248,729

Non-current assets

 

 

 

 

Deposits in banks

 

 

 

 

Deposit for checking account

W

11

 

11

 

 

 

 

 

 

 

10


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

5. Trade Accounts and Notes Receivable, and Other Accounts Receivable

 

(a) Details of trade accounts and notes receivable and other accounts receivable as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Trade accounts and notes receivable, net

W

2,532,002

 

3,140,538

Other accounts receivable

 

 

 

 

 Non-trade receivables, net

 

144,740

 

140,191

 Accrued income, net

 

17,594

 

34,017

Subtotal

 

162,334

 

174,208

Total

W

2,694,336

 

3,314,746

 

(b) The aging of trade accounts and notes receivable and other accounts receivable as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

 

Original Amount

 

Allowance for doubtful account

 

 

Trade accounts

and notes

receivable

 

Other

accounts

receivable

 

Trade accounts

and notes

receivable

 

Other

accounts

receivable

Not past due

W

2,521,024

 

71,156

 

(8)

 

(259)

1-15 days past due

 

6,095

 

6,994

 

-

 

(3)

16-30 days past due

 

3,286

 

36,352

 

-

 

(7)

31-60 days past due

 

1,589

 

8,307

 

-

 

-

More than 60 days past due

 

16

 

40,129

 

-

 

(335)

Total

W

2,532,010

 

162,938

 

(8)

 

(604)

 

 

(In millions of won)

 

December 31, 2025

 

 

Original Amount

 

Allowance for doubtful account

 

 

Trade accounts

and notes

receivable

 

Other

accounts

receivable

 

Trade accounts

and notes

receivable

 

Other

accounts

receivable

Not past due

W

3,133,952

 

122,169

 

(180)

 

(428)

1-15 days past due

 

146

 

1,313

 

-

 

(1)

16-30 days past due

 

5,550

 

10,228

 

-

 

(1)

31-60 days past due

 

1,065

 

10,773

 

-

 

(3)

More than 60 days past due

 

5

 

30,434

 

-

 

(276)

 Total

W

3,140,718

 

174,917

 

(180)

 

(709)

 

The movement in the allowance for doubtful account in respect of trade accounts and notes receivable and other accounts receivable for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

2026

 

2025

 

 

Trade accounts and notes receivable

 

Other accounts receivable

 

Trade accounts and notes receivable

 

Other accounts receivable

At January 1

W

180

 

709

 

362

 

297

(Reversal of) bad debt expense

 

(172)

 

(105)

 

(138)

 

140

At March 31

W

8

 

604

 

224

 

437

 

 

11


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

6. Other Financial Assets

 

Details of other financial assets as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Current assets

 

 

 

 

Financial assets at fair value through profit or loss

 

 

 

 

Derivatives (*)

W

129,663

 

62,740

Financial assets carried at amortized cost

 

 

 

 

Deposits

W

3,965

 

6,515

Short-term loans

 

2,346

 

7,994

Subtotal

W

6,311

 

14,509

Total

W

135,974

 

77,249

Non-current assets

 

 

 

 

Financial assets at fair value through profit or loss

 

 

 

 

Equity instruments

W

23,057

 

23,616

Derivatives (*)

 

147,479

 

69,247

Subtotal

W

170,536

 

92,863

Financial assets carried at amortized cost

 

 

 

 

Deposits

W

1,399

 

645

Total

W

171,935

 

93,508

 

(*) The derivatives, which are not designated as hedging instruments, arise from cross-currency interest rate swap contracts and interest rate swap contracts for the purpose of managing risks associated with borrowings and bonds.

 

12


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

7. Inventories

 

Details of inventories as of March 31, 2026 and December 31, 2025 are as follows:

 

(i) As of March 31, 2026

(In millions of won)

 

 

 

 

 

 

 

 

Cost

 

Valuation allowance

 

Carrying amount

Finished goods

W

240,472

 

(21,031)

 

219,441

Work-in-process

 

1,325,758

 

(177,570)

 

1,148,188

Raw materials

 

514,387

 

(24,786)

 

489,601

Supplies

 

130,590

 

(16,386)

 

114,204

Total

W

2,211,207

 

(239,773)

 

1,971,434

 

(ii) As of December 31, 2025

(In millions of won)

 

 

 

 

 

 

 

 

Cost

 

Valuation allowance

 

Carrying amount

Finished goods

W

311,536

 

(48,263)

 

263,273

Work-in-process

 

1,133,627

 

(154,426)

 

979,201

Raw materials

 

466,252

 

(24,097)

 

442,155

Supplies

 

126,920

 

(18,039)

 

108,881

Total

W

2,038,335

 

(244,825)

 

1,793,510

 

 

For the three-month periods ended March 31, 2026 and 2025, the amounts of inventories recognized as expense and reversal of loss on valuation of inventories are as follows:

 

(In millions of won)

 

 

 

 

 

 

2026

 

2025

Cost of sales

W

4,822,803

 

5,373,959

Inventories recognized as expense

 

4,827,855

 

5,390,487

Reversal of write-downs of inventories deducted from cost of sales

 

(5,052)

 

(16,528)

 

 

 

 

 

 

 

 

13


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

8. Investments

 

(a)
Details of investments in subsidiaries as of March 31, 2026 and December 31, 2025, are as follows:

 

(In millions of won)

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Subsidiaries

 

Location

 

Business

 

Percentage of ownership

 

Carrying amount

 

Percentage of ownership

 

Carrying amount

LG Display America, Inc.

 

San Jose, U.S.A.

 

Sales of display products

 

100%

W

36,815

 

100%

W

36,815

LG Display Germany GmbH

 

Eschborn, Germany

 

Sales of display products

 

100%

 

19,373

 

100%

 

19,373

LG Display Japan Co., Ltd.

 

Tokyo, Japan

 

Sales of display products

 

100%

 

15,686

 

100%

 

15,686

LG Display Taiwan Co., Ltd.

 

Taipei, Taiwan

 

Sales of display products

 

100%

 

35,230

 

100%

 

35,230

LG Display Nanjing Co., Ltd.

 

Nanjing, China

 

Production of display products

 

100%

 

593,726

 

100%

 

593,726

LG Display Shanghai Co., Ltd.

 

Shanghai, China

 

Sales of display products

 

100%

 

9,093

 

100%

 

9,093

LG Display Shenzhen Co., Ltd.

 

Shenzhen, China

 

Sales of display products

 

100%

 

3,467

 

100%

 

3,467

LG Display Singapore Pte. Ltd.

 

Singapore

 

Sales of display products

 

100%

 

1,250

 

100%

 

1,250

L&T Display Technology (Fujian) Limited

 

Fujian, China

 

Production and sales of LCD module and LCD monitor sets

 

51%

 

10,123

 

51%

 

10,123

LG Display Yantai Co., Ltd.

 

Yantai, China

 

Production of display products

 

100%

 

169,195

 

100%

 

169,195

Nanumnuri Co., Ltd.

 

Gumi, South Korea

 

Operation of welfare facilities

 

100%

 

800

 

100%

 

800

Unified Innovative Technology, LLC

 

Wilmington, U.S.A.

 

Intellectual property management

 

100%

 

1,424

 

100%

 

1,424

LG Display Guangzhou Trading Co., Ltd.

 

Guangzhou, China

 

Sales of display products

 

100%

 

218

 

100%

 

218

Global OLED Technology, LLC

 

Sterling, U.S.A.

 

OLED intellectual property management

 

100%

 

133,838

 

100%

 

133,838

LG Display Vietnam Haiphong Co., Ltd.

 

Haiphong, Vietnam

 

Production and sales of display products

 

100%

 

672,658

 

100%

 

672,658

Suzhou Lehui Display Co., Ltd.

 

Suzhou, China

 

Production and sales of LCD module and LCD monitor sets

 

100%

 

121,640

 

100%

 

121,640

LG DISPLAY FUND I LLC (*)

 

Wilmington, U.S.A.

 

Investment in venture business and technologies

 

100%

 

96,387

 

100%

 

96,059

LG Display High-Tech (China) Co., Ltd.

 

Guangzhou, China

 

Production and sales of display products

 

70%

 

1,846,177

 

70%

 

1,846,177

Total

 

 

 

 

 

 

W

3,767,100

 

 

W

3,766,772

 

 

(*) For the three-month period ended March 31, 2026, the Company contributed W328 million in cash for the capital increase of LG DISPLAY FUND I LLC. There was no change in the Company’s percentage of ownership in LG DISPLAY FUND I LLC as a result of this additional investment.

 

 

 

 

 

 

 

14


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

8. Investments, Continued

 

(b)
Details of investments in associates as of March 31, 2026 and December 31, 2025, are as follows:

 

(In millions of won)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Associates

 

Location

 

Business

 

Percentage of ownership

 

Carrying amount

 

Percentage of ownership

 

Carrying amount

Paju Electric Glass Co., Ltd.

 

Paju, South Korea

 

Production of glass for display

 

40%

W

39,313

 

40%

W

39,313

Arctic Sentinel, Inc.

 

Los Angeles, U.S.A.

 

Development and production of tablet for kids

 

10%

 

-

 

10%

 

-

Cynora GmbH

 

Bruchsal, Germany

 

Development of organic light emitting materials for displays and lighting devices

 

10%

 

-

 

10%

 

-

Material Science Co., Ltd.

 

Hwaseong, South Korea

 

Development, production and sales of materials for display

 

9%

 

4,000

 

9%

 

4,000

Total

 

 

 

 

 

 

W

43,313

 

 

W

43,313

 

 


Although the Company’s respective share interests in Arctic Sentinel, Inc., Cynora GmbH and Material Science Co., Ltd. are below 20%, the Company is able to exercise significant influence through its right to appoint one or more directors to the board of directors of each investee. Accordingly, the investments in these investees have been classified as investments in associates.
 

Dividend income recognized from subsidiaries and associates for the three-month periods ended March 31, 2026 and 2025 amounted to W3,415 million and W95,053 million, respectively.

15


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

9. Property, Plant and Equipment

 

(a) Changes in property, plant and equipment for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

2026

 

2025

Book value as of January 1

W

10,298,784

 

11,913,336

  Acquisitions

 

203,105

 

158,114

  Depreciation

 

(501,691)

 

(510,095)

  Disposals

 

(14,894)

 

(77,286)

  Impairment loss (*)

 

(873)

 

(647)

Book value as of March 31

W

9,984,431

 

11,483,422

 

(*) If there are indications of impairment, impairment losses are recognized for the difference between the carrying amount and the recoverable amount of property, plant and equipment.

 

(b) For the three-month period ended March 31, 2026, the capitalized borrowing costs amounted to W3,274 million (For the three-month period ended March 31, 2025: W1,828 million), and capitalization rate is 4.54% (For the three-month period ended March 31, 2025: 4.96%).

 

 

10. Intangible Assets

 

Changes in intangible assets for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

2026

 

2025

Book value as of January 1

W

1,427,602

 

1,485,789

  Acquisitions

 

380,755

 

30,543

  Acquisitions by Internal Development

 

96,807

 

131,850

  Amortization

 

(177,080)

 

(194,186)

  Impairment loss (*)

 

(6,604)

 

(453)

Book value as of March 31

W

1,721,480

 

1,453,543

 

(*) If there are indications of impairment, impairment losses are recognized for the difference between the carrying amount and the recoverable amount of intangible assets.

 

 

11. Investment Property

 

(a) Changes in investment property for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

2026

 

2025

Book value as of January 1

W

18,031

 

27,911

Depreciation

 

(171)

 

(1,272)

Others

 

-

 

10

Book value as of March 31

W

17,860

 

26,649

 

(b) For the three-month period ended March 31, 2026, rental revenue from investment property is W1,572 million (For the three-month period ended March 31, 2025: W2,535 million) and rental cost is W251 million (For the three-month period ended March 31, 2025: W1,345 million).

 

 

16


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

12. Financial Liabilities

 

(a)
Details of financial liabilities as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

December 31, 2025

Current

 

 

 

 

Short-term borrowings

W

2,922,663

 

2,195,397

Current portion of long-term borrowings

 

1,269,131

 

1,261,745

Current portion of bonds

 

486,120

 

398,223

Current portion of payment guarantee liabilities

 

4,300

 

4,418

Derivatives (*)

 

2,643

 

4,066

Lease liabilities

 

6,671

 

6,848

Total

W

4,691,528

 

3,870,697

Non-current

 

 

 

 

Long-term borrowings

W

5,063,426

 

4,853,970

Bonds

 

-

 

124,871

Non-current payment guarantee liabilities

 

4,379

 

5,029

Derivatives (*)

 

12,673

 

5,487

Lease liabilities

 

4,305

 

3,219

Total

W

5,084,783

 

4,992,576

 

(*) The derivatives, which are not designated as hedging instruments, arise from cross‑currency interest rate swap contracts and interest rate swap contracts for the purpose of managing risks associated with borrowings and bonds.

 

(b)
Details of short-term borrowings as of March 31, 2026 and December 31, 2025 are as follows:

(In millions of won)

 

 

 

 

 

 

 

 

Lender

 

Description

 

Annual interest rate

as of

March 31, 2026 (%)

 

March

31, 2026

 

December 31, 2025

LG Display Singapore Pte. Ltd.

 

Working Capital

 

3.69

W

1,816,080

 

1,721,880

Standard Chartered Bank Korea Limited and others

 

Working Capital and others

 

2.37~4.75

 

1,106,583

 

473,517

Total

 

 

 

 

W

2,922,663

 

2,195,397

 

 

17


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

12. Financial Liabilities, Continued

 

(c)
Details of Korean won denominated long-term borrowings as of March 31, 2026 and December 31, 2025 are as follows :

 

(In millions of won)

 

 

 

 

 

 

 

 

 

 

Lender

 

Description

 

Latest maturity date

 

Annual interest rate

as of

March 31, 2026 (%)

 

March 31, 2026

 

December 31, 2025

Korea Development Bank and others

 

Facility capital and others

 

April 2026~

March 2036

 

3.46~5.65

W

4,138,323

 

4,000,423

Less: current portion

 

 

 

 

 

 

 

(943,750)

 

(1,190,000)

Total

 

 

 

 

 

 

W

3,194,573

 

2,810,423

 

(d)
Details of foreign currency denominated long-term borrowings as of March 31, 2026 and December 31, 2025 are as follows :

 

(In millions of won and USD and CNY)

 

 

 

 

 

 

 

 

Lender

 

Description

 

Latest maturity date

 

Annual interest rate

as of

March 31, 2026 (%)

 

March 31, 2026

 

December 31, 2025

KEB Hana Bank and others

 

 

Facility capital and others

 

September 2026~

March 2029

 

2.40~6.27

W

2,194,234

 

2,115,292

Foreign currency equivalent of foreign currency borrowings

 

 

 

 

 

 

 

USD 1,395

 

USD 1,420

 

 

 

 

 

 

 

CNY 380

 

CNY 380

Less: current portion

 

 

 

 

 

 

 

(325,381)

 

(71,745)

Total

 

 

 

 

 

 

W

1,868,853

 

2,043,547

 

 

18


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

12. Financial Liabilities, Continued

 

(e)
Details of bonds issued and outstanding as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won and USD)

 

 

 

 

 

 

 

 

Maturity

 

Annual interest rate

as of

March 31, 2026 (%)

 

March 31, 2026

 

December 31, 2025

Korean won denominated bonds at amortized cost (*1)

 

 

 

 

 

 

 

 

Publicly issued bonds

 

 

September 2026~

February 2027

 

2.79~3.66

W

335,000

 

335,000

Privately issued bonds

 

 

 

-

 

-

 

45,000

Less: discount on bonds

 

 

 

 

 

(182)

 

(257)

Less: current portion

 

 

 

 

 

(334,818)

 

(254,872)

Subtotal

 

 

 

 

W

-

 

124,871

Foreign currency denominated bonds at amortized cost (*2)

 

 

 

 

 

 

 

 

Privately issued bonds

 

April 2026

 

5.57

W

151,340

 

143,490

Foreign currency equivalent of foreign currency denominated bonds

 

USD 100

 

USD 100

Less: discount on bonds

 

 

 

 

W

(38)

 

(139)

Less: foreign currency equivalent of discount on bonds of foreign

currency denominated bonds

 

USD (0)

 

USD (0)

Less: current portion

W

(151,302)

 

(143,351)

Subtotal

 

 

 

 

W

-

 

-

Total

 

 

 

 

W

-

 

124,871

 

(*1) Principal of the Korean won denominated bonds is to be repaid at maturity and interest is paid quarterly.

(*2) Principal of the foreign currency denominated bonds is to be repaid at maturity and interest is paid quarterly.

 

 

19


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

13. Post-employment Benefits

 

(a) Defined benefit plans

The Company’s defined benefit plans provide a lump-sum payment to an employee based on final salary rates and

length of service at the time the employee leaves the Company.

 

i) Details of net defined benefit liabilities (defined benefit assets) recognized as of March 31, 2026 and December
31, 2025 are as follows:

(In millions of won)

 

March 31, 2026

 

December 31, 2025

 

 

 

 

 

Present value of defined benefit obligations

W

1,243,411

 

1,266,838

Fair value of plan assets

 

(1,413,242)

 

(1,465,126)

Total

W

(169,831)

 

(198,288)

 

ii) Details of plan assets as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Time deposits in banks

W

1,413,242

 

1,465,126

 

As of March 31, 2026, the Company maintains the plan assets primarily with Shinhan Bank, KEB Hana Bank and others.

 

iii) Details of expenses related to defined benefit plans recognized in profit or loss for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

2026

 

2025

 

Current service cost

W

29,931

 

36,367

 

Net interest cost

 

(2,340)

 

(1,561)

 

Total(*)

W

27,591

 

34,806

 

 

(*) The total cost related to the defined benefit plans includes capitalized amounts of W2,149 million (for the three-month period ended March 31, 2025: W2,605 million).

 

 

20


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

13. Post-Employment Benefits, Continued

 

(b) Defined contribution plans

The amount recognized as an expense in relation to the defined contribution plans for the three-month period ended

March 31, 2026 is W9,990 million (for the three-month period ended March 31, 2025: W6,754 million).

 

 

14. Provisions

 

Changes in provisions for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(i) 2026

 

(In millions of won)

 

 

 

 

 

 

 

 

 

 

Litigation

 

Warranties (*)

 

Others

 

Total

At January 1, 2026

W

1,546

 

135,578

 

3,780

 

140,904

Additions

 

3,836

 

2,796

 

5,063

 

11,695

Usage

 

-

 

(18,290)

 

(5,808)

 

(24,098)

At March 31, 2026

W

5,382

 

120,084

 

3,035

 

128,501

Current

W

5,382

 

73,224

 

3,035

 

81,641

Non-current

W

-

 

46,860

 

-

 

46,860

 

(*) The Company provides warranty on defective products for warranty periods after sales. The provision is calculated based on the assumption of expected number of warranty claims and costs per claim considering historical experience.

 

 

(ii) 2025

 

(In millions of won)

 

 

 

 

 

 

 

 

 

 

Litigation

 

Warranties (*)

 

Others

 

Total

At January 1, 2025

W

7,479

 

151,394

 

5,997

 

164,870

Additions (reversal)

 

58

 

10,908

 

(1,049)

 

9,917

Usage

 

(5,450)

 

(19,133)

 

-

 

(24,583)

At March 31, 2025

W

2,087

 

143,169

 

4,948

 

150,204

Current

W

2,087

 

86,530

 

4,948

 

93,565

Non-current

W

-

 

56,639

 

-

 

56,639

 

(*) The Company provides warranty on defective products for warranty periods after sales. The provision is calculated based on the assumption of expected number of warranty claims and costs per claim considering historical experience.

 

21


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

15. Contingent Liabilities and Commitments

 

(a) Legal Proceedings

 

Litigation alleging violations of antitrust and competition laws

 

The Company and other LCD panel manufacturers have been sued by individual companies for alleged violations of European Union competition laws. The Company is actively defending itself in these ongoing legal proceedings, and as of March 31, 2026, the Company cannot predict the ultimate outcome of the litigation.

 

Others

 

The Company is involved in various lawsuits and disputes in addition to the pending proceeding described above. The Company cannot reliably estimate the timing and amount of outflows of resources embodying economic benefits relating to the disputes.

 

(b) Commitments


Factoring and transfer of trade receivables

 

The Company has entered into discount agreements with Nonghyup Bank and other banks for accounts receivable related to export sales transactions with its subsidiaries, with a credit limit of up to USD 1,100 million (Equivalent to W1,664,740 million). As of March 31, 2026, the amount of the discounted trade receivables that remain outstanding until maturity under the agreement is USD 335 million (Equivalent to W506,472 million). In relation to the above agreements, the financial institutions retain the right of recourse against the Company for any discounted receivables that are not collected at maturity.


The Company has entered into receivable transfer agreements with MUFG Bank and other financial institutions in respect of trade receivables arising from domestic and export sales transactions, with an aggregate limit of W537,257 million. As of March 31, 2026, the amount of transferred trade receivables that remain outstanding until maturity under the agreement is W31,139 million. In relation to the above agreements, the financial institutions do not have recourse to the Company for any receivables that are not recovered at maturity.

22


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

15. Contingent Liabilities and Commitments, Continued

 

Loan commitment

 

As of March 31, 2026, the Company has borrowing and letter of credit facilities with Hana Bank and other financial institutions with a combined credit limit of W2,490,100 million and with LG Display Singapore Pte. Ltd. for borrowing up to USD 1,200 million (Equivalent to W1,816,080 million).

 

Payment guarantees

 

The Company provides payment guarantee to LG Display Vietnam Haiphong Co., Ltd. for the loan principal of USD 875 million (Equivalent to W1,324,225 million).

 

The Company has received a payment guarantee of W2,653 million from Seoul Guarantee Insurance Co., Ltd. in relation to performance guarantees and others.


License agreements

 

As of March 31, 2026, the Company has a trademark license agreement with LG Corp. and pays the usage fee according to the terms of the Agreement.

 


 

23


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

15. Contingent Liabilities and Commitments, Continued

 

Collateral

 

Details of the collateral provided by the Company as of March 31, 2026 are as follows:

 

(In millions of won)

 

 

 

 

 

 

 

 

Collateral

 

Carrying amount

 

Maximum secured amount of credit

 

Secured creditor

 

Collateral borrowings amount

Property, plant and equipment and others

 

212,922

 

780,000

 

Korea Development Bank and others

 

650,000

 

 

Commitments for asset acquisition

 

The amount committed to acquire property, plant, equipment and intangible assets not recognized on the financial statements as of March 31, 2026 is W521,189 million.

 

 

 

16. Share Capital and Capital Surplus

 

The total number of shares to be issued by the Company is 1,000,000,000 shares, the number of shares issued is 500,000,000 shares (December 31, 2025 : 500,000,000 shares), and the par value per share is W5,000. There were no changes in the Company's share capital for the three-month period ended March 31, 2026.

 

The Company's capital surplus consists of paid-in capital in excess of par value, and there were no changes in this paid-in capital for the three-month period ended March 31, 2026.

 

24


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

17. Revenue

 

Details of revenue for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

 

(In millions of won)

 

 

 

 

 

2026

 

2025

 

Sales of goods

W

5,214,224

 

5,577,185

 

Others(*)

 

14,303

 

42,881

 

Total

W

5,228,527

 

5,620,066

 

(*) Others include royalties and rental revenue.

 

 

For the three-month period ended March 31, 2026, the revenue recognized by satisfying performance obligation for the amount received from the customer in prior reporting periods is W8,768 million. (For the three-month period ended March 31, 2025 : W221,140 million)

 

 

 

 

 

 

25


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

18. The Nature of Expenses

 

The classifications of expenses by nature for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

2026

 

2025

 

Changes in inventories

W

(177,924)

 

(218,488)

 

Purchases of raw materials and others

 

1,870,022

 

2,377,368

 

Depreciation and amortization

 

666,507

 

692,192

 

Outsourcing

 

1,650,381

 

1,719,608

 

Labor

 

638,050

 

617,556

 

Supplies and others

 

159,402

 

157,255

 

Utility

 

243,253

 

256,614

 

Fees and commissions

 

95,002

 

91,034

 

Freight cost

 

12,424

 

12,013

 

Advertising

 

12,735

 

13,798

 

Travel

 

7,919

 

8,893

 

Taxes and dues

 

18,291

 

18,097

 

Others

 

133,517

 

163,083

 

Total(*)

W

5,329,579

 

5,909,023

 

 

(*) Total expenses consist of cost of sales, selling, administrative, research and development expenses.

 

 

 

 

 

 

 

 

26


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

19. Selling and Administrative Expenses

 

Details of selling and administrative expenses for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

2026

 

2025

 

Salaries

W

56,276

 

56,024

 

Post-employment benefit

 

4,954

 

6,017

 

Other employee benefits

 

11,255

 

11,995

 

Freight cost

 

5,067

 

3,688

 

Fees and commissions

 

37,840

 

33,519

 

Depreciation and amortization

 

27,272

 

31,765

 

Taxes and dues

 

1,287

 

1,198

 

Advertising

 

12,735

 

13,798

 

Insurance

 

2,334

 

2,474

 

Travel

 

2,081

 

1,759

 

Training

 

3,021

 

2,956

 

Others

 

12,392

 

21,977

 

Total

W

176,514

 

187,170

 

 

 

 

 

 

 

 

 

27


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

20. Other Non-operating Income and Other Non-operating Expenses

 

(a) Details of other non-operating income for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

2026

 

2025

 

Foreign currency gain

W

361,757

 

235,825

 

Gain on disposal of property, plant and equipment

 

10,862

 

1,052

 

Others

 

3,930

 

1,063

 

Total

W

376,549

 

237,940

 

 

(b) Details of other non-operating expenses for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

2026

 

2025

 

Foreign currency loss

W

664,728

 

243,764

 

Loss on disposal of property, plant and equipment

 

14,739

 

12,862

 

Impairment loss on property, plant and equipment

 

873

 

647

 

Impairment loss on intangible assets

 

6,604

 

453

 

Others

 

3,926

 

523

 

Total

W

690,870

 

258,249

 

 

28


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

21. Finance Income and Finance Costs

 

Details of finance income and costs recognized in profit or loss for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

2026

 

2025

 

Finance income

 

 

 

 

 

Interest income

W

2,228

 

6,630

 

Dividend income

 

3,415

 

95,053

 

Foreign currency gain

 

9,487

 

60,486

 

Gain on transaction of derivatives

 

37,420

 

65,650

 

Gain on valuation of derivatives

 

149,416

 

1,582

 

Others

 

3,903

 

2,633

 

Total

W

205,869

 

232,034

 

Finance costs

 

 

 

 

 

Interest expense

W

114,580

 

145,570

 

Foreign currency loss

 

263,615

 

49,361

 

Loss on valuation of derivatives

 

10,023

 

55,588

 

Others

 

3,263

 

2,638

 

Total

W

391,481

 

253,157

 

 

 

29


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

22. Loss Per Share

 

(a) Basic loss per share for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In won and number of shares)

 

 

 

 

 

2026

 

2025

 

Loss for the period

W

(645,513,892,017)

 

(364,593,466,611)

 

Weighted-average number of common shares outstanding

 

500,000,000

 

500,000,000

 

Basic loss per share

W

(1,291)

 

(729)

 

 

 

(b) Diluted loss per share is not different from basic loss per share as there are no dilution effects of potential common stocks.

 

 

 

 

 

 

 

30


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

23. Financial Risk Management

 

The Company is exposed to credit risk, liquidity risk and market risk. The Company identifies and analyzes such risks, and controls are implemented under a risk management system to monitor and manage these risks at below an acceptable level.

 

(a) Market risk

 

Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices, which will affect the Company’s income or the value of its holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimizing the return.

 

(i) Currency risk

 

The Company is exposed to currency risk on sales, purchases and borrowings that are denominated in a currency other than the functional currency of the Company, Korean won (KRW). The currencies in which these transactions primarily are denominated are USD, JPY, etc.

 

The Company adopts policies to ensure that its net exposure is kept to a manageable level by buying or selling foreign currencies at spot rates when necessary to address short-term imbalances. In respect of monetary assets and liabilities denominated in foreign currencies, the Company manages currency risk through continuously managing the position of foreign currencies, measuring the currency risk and, if necessary, using derivatives such as currency forwards, currency swap and others.

 

Cross currency interest rate swap contracts, USD 600 million (December 31, 2025: USD 580 million) and CNY 1,740 million (December 31, 2025: CNY 380 million) were entered into to manage currency risk with respect to foreign currency denominated borrowings and USD 845 million (December 31, 2025: USD 1,020 million) were entered into to manage currency risk and interest rate risk with respect to foreign currency denominated borrowings and bonds.

 

A weaker won, as indicated below, against the following currencies which comprise the Company’s assets or liabilities denominated in a foreign currency as of March 31, 2026 and December 31, 2025 would have increased (decreased) equity and profit or loss by the amounts shown below. This analysis is based on foreign currency exchange rate variances that the Company considers to be reasonably possible at the end of the reporting period. The analysis assumes that all other variables, in particular interest rates, would remain constant. The changes in profit or loss before income tax would have been as follows:

 

(In millions of won)

 

 

March 31, 2026

 

 

December 31, 2025

USD (5 percent weakening)

W

 

(433,865)

W

 

(349,389)

JPY (5 percent weakening)

 

 

(4,016)

 

 

(5,309)

 

If the exchange rates for the currencies presented above were to decrease at the end of the reporting period, with all other variables held constant, the effects would be the opposite of those presented above.

 

 

 

 

31


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

23. Financial Risk Management, Continued

 

(ii) Interest rate risk

 

Interest rate risk arises principally from the Company’s variable interest-bearing bonds and borrowings. The Company establishes and applies its policy to reduce uncertainty arising from fluctuations in interest rates and to minimize finance cost and manages interest rate risk by monitoring trends of fluctuations in interest rate and establishing plan for countermeasures. Meanwhile, the Company entered into cross currency interest rate swap contracts amounting to USD 845 million (W1,278,823 million) and interest rate swap contracts amounting to USD 250 million (W378,350 million) and W2,030,000 million in notional amount to manage interest rate risk with respect to variable interest-bearing borrowings.

 

i) Profile

 

The interest rate profile of the Company’s interest-bearing financial instruments as of March 31, 2026 and December 31, 2025 is as follows:

 

(In millions of won)

 

March 31, 2026

 

December 31, 2025

 

 

 

 

 

Fixed rate instruments

 

 

 

 

Financial assets

W

439,935

 

248,729

Financial liabilities

 

(2,638,125)

 

(2,010,142)

Total

W

(2,198,190)

 

(1,761,413)

Variable rate instruments

 

 

 

 

Financial liabilities

W

(7,103,215)

 

(6,824,064)

 

ii) Profit or loss before income tax sensitivity analysis for variable rate instruments

 

As of March 31, 2026 and December 31, 2025, a change of 100 basis points in interest rates at the reporting date would have increased (decreased) profit or loss before income tax by the amounts shown below for the respective following 12 month periods. This analysis assumes that all other variables remain constant.

 

(In millions of won)

 

 

 

 

 

 

 

 

Profit or loss before income tax

 

 

 

 1%p

 increase

 

 1%p

decrease

March 31, 2026

 

 

 

 

 

Variable rate instruments

W

 

(71,032)

 

71,032

December 31, 2025

 

 

 

 

 

Variable rate instruments

W

 

(68,241)

 

68,241

 

 

32


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

23. Financial Risk Management, Continued

 

(b) Credit risk

 

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the Company’s receivables from customers.

 

The Company’s exposure to credit risk of trade and other receivables is influenced mainly by the individual characteristics of each customer. However, management believes that the default risk of the country in which each customer operates, does not have a significant influence on credit risk since the majority of the customers are global electronic appliance manufacturers operating in global markets.

 

The Company establishes credit limits for each customer and each new customer is analyzed quantitatively and qualitatively before determining whether to utilize third party guarantees, insurance or factoring as appropriate.

 

In relation to the impairment of financial assets subsequent to initial recognition, the Company recognizes the changes in expected credit loss (“ECL”) in profit or loss at each reporting date.

 

The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Financial assets carried at amortized cost

 

 

 

 

Cash equivalents

W

439,935

 

248,729

Deposits in banks

 

11

 

11

Trade accounts and notes receivable, net

 

2,532,002

 

3,140,538

Non-trade receivables, net

 

144,740

 

140,191

Accrued income, net

 

17,594

 

34,017

Deposits

 

5,364

 

7,160

Loans

 

2,346

 

7,994

Subtotal

W

3,141,992

 

3,578,640

Financial assets at fair value through profit or loss

 

 

 

 

Derivatives

 

277,142

 

131,987

Total

W

3,419,134

 

3,710,627

 

 

 

 

 

 

33


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

23. Financial Risk Management, Continued

 

In addition to the financial assets above, as of March 31, 2026, the Company provides payment guarantees to LG Display Vietnam Haiphong, Co., Ltd. in connection with the principal amount of credit facilities amounting to USD 875 million (W1,324,225 million) (see note 15).

 

Trade accounts and notes receivable are insured in order for the Company to manage credit risk if they do not meet the Company’s internal credit ratings. Uninsured trade accounts and notes receivable are managed by continuous monitoring of internal credit rating standards established by the Company and seeking insurance coverage, if necessary.

 

(c) Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or other financial assets. The Company’s liquidity management policy involves projecting cash flows in major currencies and considering the level of liquid assets necessary to meet these, monitoring liquidity ratios against internal and external regulatory requirements and maintaining debt financing plans.

 

The Company has historically been able to satisfy its cash requirements from cash flows from operations and debt and equity financing.

 

Meanwhile, the Company has entered into borrowing facility agreements with several banks. These agreements may include financial covenants requiring the Company to meet certain financial performance targets. The Company periodically monitors compliance with these agreements through its internal control procedures to proactively manage liquidity risk.

 

 

 

 

34


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

23. Financial Risk Management, Continued

 

(i) Contractual cash flows of financial liabilities

 

The following are the contractual maturities of financial liabilities, including estimated interest payments, as of March 31, 2026 and December 31, 2025.

 

i) As of March 31, 2026

 

(In millions of won)

Contractual cash flows

Carrying amount

Total

6 months or less

6-12 months

1-2

years

2-5

years

More than 5 years

Non-derivative financial liabilities

Borrowings

W

9,255,220

9,568,656

1,488,604

2,771,284

4,196,369

953,553

158,846

Bonds

486,120

495,950

368,665

127,285

-

-

-

Trade accounts and notes payable(*1)

9,382,774

9,382,774

9,382,774

-

-

-

-

Other accounts payable(*1)

980,063

983,350

903,322

80,028

-

-

-

Long-term other accounts payable

495,806

558,521

-

-

144,702

413,819

-

Payment guarantee(*2)

8,679

1,324,225

1,324,225

-

-

-

-

Security deposits received

138,469

146,474

1,119

2,860

142,469

26

-

Lease liabilities

10,976

11,528

4,273

2,705

2,313

2,072

165

Derivative financial liabilities

Derivatives

W

15,316

15,698

4,540

4,621

6,209

328

-

 Cash outflow

-

40,562

16,468

10,357

12,389

1,348

-

 Cash inflow

-

(24,864)

(11,928)

(5,736)

(6,180)

(1,020)

-

Total

W

20,773,423

22,487,176

13,477,522

2,988,783

4,492,062

1,369,798

159,011

 

(*1) As of March 31, 2026, it includes W290,196 million of payable to credit card companies for utility expenses and others paid using business credit card for purchases.

 

(*2) Contractual cash flows of payment guarantee represents the maximum amount to the earliest period that the Company could be required to pay the guarantee amount.

 

 

 

 

35


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

23. Financial Risk Management, Continued

 

ii) As of December 31, 2025

 

(In millions of won)

 

 

 

Contractual cash flows

 

 

Carrying amount

 

 

Total

 

6 months or less

 

6-12 months

 

1-2

years

 

2-5

years

 

More than 5 years

Non-derivative financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Borrowings

W

8,311,112

 

8,815,503

 

3,204,224

 

533,755

 

3,334,130

 

1,743,394

 

-

Bonds

 

523,094

 

538,548

 

198,654

 

213,751

 

126,143

 

-

 

-

Trade accounts and notes payable(*1)

 

9,711,618

 

9,711,618

 

9,711,618

 

-

 

-

 

-

 

-

Other accounts payable(*1)

 

1,151,778

 

1,153,425

 

1,122,911

 

30,514

 

-

 

-

 

-

Long-term other accounts payable

 

218,683

 

248,238

 

-

 

-

 

67,441

 

180,797

 

-

Payment guarantee(*2)

 

9,447

 

1,345,219

 

1,345,219

 

-

 

-

 

-

 

-

Security deposits received

 

138,380

 

147,474

 

480

 

4,109

 

142,859

 

26

 

-

Lease liabilities

 

10,067

 

10,544

 

3,692

 

3,446

 

1,846

 

1,404

 

156

Derivative financial liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives

W

9,553

 

7,157

 

3,027

 

2,416

 

1,792

 

(78)

 

-

 Cash outflow

 

-

 

325,920

 

18,751

 

13,131

 

292,017

 

2,021

 

-

 Cash inflow

 

-

 

(318,763)

 

(15,724)

 

(10,715)

 

(290,225)

 

(2,099)

 

-

Total

W

20,083,732

 

21,977,726

 

15,589,825

 

787,991

 

3,674,211

 

1,925,543

 

156

 

(*1) As of December 31, 2025, it includes W704,529 million of payable to credit card companies for utility expenses and others paid using business credit card for purchases.

 

(*2) Contractual cash flows of payment guarantee represents the maximum amount to the earliest period that the Company could be required to pay the guarantee amount.

 

It is not expected that the cash flows included in the maturity analysis could occur significantly earlier, or at significantly different amounts.

 

 

 

 

36


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

23. Financial Risk Management, Continued

 

(ii) Supplier finance arrangement

 

Supplier finance arrangements are characterized by one or more finance providers offering to pay amounts that the Company owes its suppliers and the Company agreeing to pay finance providers according to the terms and conditions of the arrangements at a date later than, when suppliers are paid. These arrangements provide the Company with extended payment terms, or the Company’s suppliers with early payment terms, compared to the related invoice payment due date.

 

The carrying amounts of financial liabilities from supplier financing agreement as of March 31, 2026 and December 31, 2025 are as follows:

 

 

 

March 31, 2026

 

December 31, 2025

 

 

Trade accounts and notes payable

 

Other accounts payable

 

Trade accounts and notes payable

 

Other accounts payable

Liabilities under supplier finance arrangement

 

 

 

 

 

 

 

 

Purchase card (*1)

W

177,843

 

109,287

 

474,781

 

219,697

Electronic Trade Receivable-Secured Loan (*2)

W

71,414

 

129,780

 

53,667

 

142,872

Liabilities under supplier finance arrangement of

which the supplier has received payment from

the finance provider

 

 

 

 

 

 

 

 

Purchase card (*1)

W

177,843

 

109,287

 

474,781

 

219,697

Electronic Trade Receivable-Secured Loan (*2)

W

2,134

 

17,450

 

2,138

 

12,465

 

 

(*1) The Company pays the settlement amount to the card company on the end date of credit term according to the card agreement. The Company uses purchase cards in agreement with the supplier, the amount paid to the card company is for the purchase of goods or services incurred in the normal course of business, and the payment deadline to the card company falls within the normal business cycle of one year or less, and no collateral is provided in connection with this agreement. Therefore, it is classified as trade accounts and notes payable and other account payable and presented as operating and investing activities in the cash flow statement.

 

 

(*2) The Company enters into supplier finance arrangement with financial institutions to streamline the payment process and offer early payment terms to suppliers. Under the supplier finance arrangement, if a vendor that supplied goods or services to the company transfers its account receivables to the financial institution within the payment due date, the Company pays the amount to the financial institution. There is no change in the original debt recognized as trade accounts and notes payable or other account payable because the supplier finance arrangement does not result in a substantive reduction of the company’s payment obligation or a change in payment terms.

37


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

23. Financial Risk Management, Continued

The range of payment due dates as of March 31, 2026 and December 31, 2025 are as follows:

 

 

 

March 31, 2026

 

December 31, 2025

 

 

 

 

 

Liabilities under supplier finance arrangement

 

 

 

 

Purchase card

 

91~108days

 

 91~205days

Electronic Trade Receivable-Secured Loan

 

45~124days

 

45~123days

Trade accounts and notes payable not covered by the supplier finance arrangement

 

5~124days

 

5~123days

 

There were no material business combinations or foreign exchange differences that would affect the liabilities under the supplier finance arrangement.

 

(d) Capital management

 

Management’s policy is to maintain a capital base so as to maintain investor, creditor and market confidence and to sustain future development of the business. Liabilities to equity ratio, net borrowings to equity ratio and other financial ratios are used by management to achieve an optimal capital structure. Management also monitors the return on capital as well as the level of dividends to ordinary shareholders. The Company is also responsible for complying with certain financial ratios as part of capital maintenance conditions imposed externally. To fulfill this responsibility, the Company regularly monitors these financial ratios and takes proactive measures when necessary.

 

(In millions of won)

 

 

 

 

 

 

March 31, 2026

 

December 31, 2025

Total liabilities

W

21,568,365

 

21,039,417

Total equity

 

3,122,294

 

3,771,705

Cash and cash equivalents

 

439,935

 

248,729

Borrowings (including bonds)

 

9,741,340

 

8,834,206

Total liabilities to equity ratio

 

691%

 

558%

Net borrowings to equity ratio(*)

 

298%

 

228%

 

(*) Net borrowings to equity ratio is calculated by dividing total borrowings (including bonds and excluding lease liabilities and others) less cash and cash equivalents by total equity.

 

 

(e)
Determination of fair value

 

(i) Measurement of fair value

 

A number of the Company’s accounting policies and disclosures require the determination of fair value, for both financial and non-financial assets and liabilities. Fair values have been determined for measurement and/or disclosure purposes based on the following methods. When applicable, further information about the assumptions made in determining fair values is disclosed in the notes specific to that asset or liability.

 

 

 

38


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

23. Financial Risk Management, Continued

 

(ii) Fair values versus carrying amounts

 

The fair values of financial assets and liabilities, together with the carrying amounts as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

December 31, 2025

 

 

Carrying

amounts

 

Fair

values

 

Carrying

amounts

 

Fair

values

Financial assets carried at amortized cost

 

 

 

 

 

 

 

 

Cash and cash equivalents

W

439,935

 

(*1)

 

248,729

 

(*1)

Deposits in banks

 

11

 

(*1)

 

11

 

(*1)

Trade accounts and notes receivable, net

 

2,532,002

 

(*1)

 

3,140,538

 

(*1)

Non-trade receivables, net

 

144,740

 

(*1)

 

140,191

 

(*1)

Accrued income, net

 

17,594

 

(*1)

 

34,017

 

(*1)

Deposits

 

5,364

 

(*1)

 

7,160

 

(*1)

Loans

 

2,346

 

(*1)

 

7,994

 

(*1)

Financial assets at fair value through profit or loss

 

 

 

 

 

 

 

 

Equity instruments

W

23,057

 

23,057

 

23,616

 

23,616

Derivatives

 

277,142

 

277,142

 

131,987

 

131,987

Financial liabilities carried at amortized cost

 

 

 

 

 

 

 

 

Borrowings

W

9,255,220

 

9,308,192

 

8,311,112

 

8,340,819

Bonds

 

486,120

 

486,437

 

523,094

 

523,500

Trade accounts and notes payable

 

9,382,774

 

(*1)

 

9,711,618

 

(*1)

Other accounts payable

 

1,475,869

 

(*1)

 

1,370,461

 

(*1)

Security deposits received

 

138,469

 

(*1)

 

138,380

 

(*1)

Financial liabilities at fair value through profit or loss

 

 

 

 

 

 

 

 

Derivatives

W

15,316

 

15,316

 

9,553

 

9,553

Other financial liabilities

 

 

 

 

 

 

 

 

Payment guarantee liabilities

 

8,679

 

(*1)

 

9,447

 

(*1)

Lease liabilities

W

10,976

 

(*2)

 

10,067

 

(*2)

 

(*1) Excluded from disclosures as the carrying amount approximates fair value.

 

(*2) Excluded from the fair value disclosures in accordance with Korean IFRS 1107 'Financial Instruments: Disclosures'.

 

 

 

 

 

 

 

39


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

23. Financial Risk Management, Continued

 

(iii) Fair values of financial assets and liabilities

 

i) Fair value hierarchy

 

Financial instruments carried at fair value are categorized into different levels in a fair value hierarchy based on the inputs used in the valuation techniques. The different levels have been defined as follows:

 

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities
Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly
Level 3: inputs for the asset or liability that are not based on observable market data

 

The Company measures fair value for financial reporting purposes, including fair value measurements, which are classified as "Level 3". The Company consults on the fair value assessment process and its results in accordance with the financial reporting schedule, and recognizes changes in the "level" at the end of the reporting period when there is a change in events or circumstances that cause a shift between fair value levels.

 

 

 

 

 

 

 

40


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

23. Financial Risk Management, Continued

 

ii) Valuation techniques and inputs for Assets and Liabilities measured by the fair value hierarchy

Fair value hierarchy classifications of the financial instruments that are measured at fair value as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

Total

Classification

 

Level 1

 

Level 2

 

Level 3

 

 

 

Financial assets at fair value through profit or loss

 

 

 

 

 

 

Equity instruments

W

18,598

 

-

 

4,459

 

23,057

 

Derivatives

 

-

 

277,142

 

-

 

277,142

 

Financial liabilities at fair value through profit or loss

 

 

 

 

 

 

Derivatives

W

-

 

15,316

 

-

 

15,316

 

(In millions of won)

December 31, 2025

Total

Classification

Level 1

Level 2

Level 3

 

 

Financial assets at fair value through profit or loss

 

Equity instruments

W

21,008

-

2,608

23,616

Derivatives

-

131,987

-

131,987

Financial liabilities at fair value through profit or loss

 

 

 

 

 

 

 

Derivatives

W

-

9,553

-

9,553

 

 

 

 

 

41


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

23. Financial Risk Management, Continued

 

The valuation techniques and inputs for assets and liabilities measured at fair value those are classified as Level 2 and Level 3 within the fair value hierarchy as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

March 31, 2026

 

December 31, 2025

 

Valuation technique

 

Input

Classification

 

Level 2

 

Level 3

 

Level 2

 

Level 3

 

 

 

 

 

Financial assets at fair value through profit or loss

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity instruments

W

-

 

4,459

 

-

 

2,608

 

Net asset value method and Comparable company analysis

 

Price to book value ratio

 

Derivatives

 

277,142

 

-

 

131,987

 

-

 

Discounted cash flow

 

Discount rate and Exchange rate

 

Financial liabilities at fair value through profit or loss

 

 

 

 

 

 

 

 

 

 

 

 

 

Derivatives

W

15,316

 

-

 

9,553

 

-

 

Discounted cash flow

 

Discount rate and Exchange rate

 

42


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

23. Financial Risk Management, Continued

 

iii) Financial instruments not measured at fair value but for which the fair value is disclosed

Fair value hierarchy classifications, valuation technique and inputs for fair value measurements of the financial instruments not measured at fair value but for which the fair value is disclosed as of March 31, 2026 and December 31, 2025 are as follows:

(In millions of won)

 

March 31, 2026

 

Valuation technique

 

Input

Classification

 

Level 1

 

Level 2

 

Level 3

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

Borrowings

W

-

 

-

 

9,308,192

 

Discounted cash flow

 

Discount rate

 

Bonds

 

-

 

-

 

486,437

 

Discounted cash flow

 

Discount rate

 

(In millions of won)

 

December 31, 2025

 

Valuation technique

 

Input

Classification

 

Level 1

 

Level 2

 

Level 3

 

 

 

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

Borrowings

W

-

 

-

 

8,340,819

 

Discounted cash flow

 

Discount rate

 

Bonds

 

-

 

-

 

523,500

 

Discounted cash flow

 

Discount rate

 

 

iv) The interest rates applied for determination of the above fair value as of March 31, 2026 and December 31, 2025 are as follows:

 

 

 

March 31, 2026

 

December 31, 2025

Borrowings, bonds and others

 

3.09%~4.13%

 

3.32%~3.90%

 

v) There is no transfer between Level 1, Level 2 and Level 3 for the three-month periods ended March 31, 2026 and 2025, and the changes in financial assets classified as Level 3 of fair value measurements for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

Classification

 

January 1, 2026

 

Acquisition

 

March 31, 2026

Equity instruments

W

2,608

 

1,851

 

4,459

 

 

(In millions of won)

 

Classification

 

January 1, 2025

 

Valuation

 

March 31, 2025

Equity instruments

W

3,180

 

-

 

3,180

 

 

43


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

24. Cash flow information

 

(a) Details of cash flows generated from operations for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

2026

 

2025

Loss for the period

W

(645,514)

 

(364,593)

Adjustments for:

W

 

 

 

  Income tax expense

 

44,529

 

34,204

  Depreciation and amortization (Note 18)

 

666,507

 

692,192

  Gain on foreign currency translation

 

(143,339)

 

(71,033)

  Loss on foreign currency translation

 

447,235

 

71,987

  Post-employment benefit (Note 13)

 

25,443

 

34,806

  Gain on disposal of property, plant and equipment

 

(10,862)

 

(1,052)

  Loss on disposal of property, plant and equipment

 

14,739

 

12,862

  Impairment loss on property, plant and equipment

 

873

 

647

  Impairment loss on intangible assets

 

6,604

 

453

  Expense on increase of provisions

 

11,646

 

10,908

  Finance income

 

(196,385)

 

(246,246)

  Finance costs

 

379,473

 

246,297

  Others

 

(1,220)

 

138

Changes in:

W

 

 

 

  Trade accounts and notes receivable

 

737,110

 

886,823

  Other accounts receivable

 

21,406

 

27,138

  Inventories

 

(177,924)

 

(218,488)

  Other current assets

 

(76,557)

 

(65,932)

  Other non-current assets

 

(10,446)

 

(10,457)

  Proceeds from settlement of derivatives

 

-

 

21,474

  Trade accounts and notes payable

 

(727,300)

 

(189,522)

  Other accounts payable

 

(224,649)

 

14,905

  Accrued expenses

 

(169,952)

 

(67,402)

  Provisions

 

(24,098)

 

(26,710)

  Advances received

 

35,064

 

(8,484)

  Other current liabilities

 

(9,093)

 

(28,416)

  Defined benefit liabilities (assets), net

 

(3,514)

 

18,744

  Other non-current liabilities

 

(320)

 

1,715

 Cash generated from (used in) operations

W

(30,544)

 

776,958

 

44


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

 

 

24. Cash flow information, Continued

 

(b) Changes in liabilities arising from financing activities for the three-month periods ended March 31, 2026 and 2025 are as follows:

(In millions of won)

 

Non-cash transactions

 

 

January 1,

2026

Cash flows from financing activities

Gain or loss on foreign currency translation

Interest expense

Others

March

 31, 2026

Short-term borrowings

W

2,195,397

599,683

127,583

-

-

2,922,663

Payment guarantee liabilities

9,447

1,344

-

-

(2,112)

8,679

Long-term borrowings

6,115,715

100,172

116,260

410

-

6,332,557

Bonds

523,094

(45,000)

7,850

176

-

486,120

Security deposits received

 

138,380

 

-

 

- 

 

- 

 

89

 

138,469

Lease liabilities

10,067

(2,080)

-

-

2,989

10,976

Total

W

8,992,100

654,119

251,693

586

966

9,899,464

(In millions of won)

 

Non-cash transactions

 

 

January 1,

2025

Cash flows from financing activities

Gain or loss on foreign currency translation

Interest expense

Others

March

 31, 2025

Short-term borrowings

W

2,454,295

24,464

(524)

-

-

2,478,235

Payment guarantee liabilities

15,770

1,832

-

-

(3,666)

13,936

Long-term borrowings

6,550,072

84,912

(8,205)

893

-

6,627,672

Bonds

1,137,839

(612,000)

(349)

284

-

525,774

Security deposits received

 

160,710

 

-

 

-

 

-

 

2,031

 

162,741

Lease liabilities

6,534

(2,907)

-

-

8,865

12,492

Total

W

10,325,220

(503,699)

(9,078)

1,177

7,230

9,820,850

 

45


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others

 

(a) Related parties

 

Details of related parties as of March 31, 2026 are as follows:

 

Classification

 

Description

Subsidiaries(*)

 

LG Display America, Inc. and others

Associates(*)

 

Paju Electric Glass Co., Ltd. and others

Entity that has significant influence over the Company

 

LG Electronics Inc.

Subsidiaries of the entity that has significant influence over the Company

 

Subsidiaries of LG Electronics Inc.

 

(*) Details of subsidiaries and associates are described in Note 8.

 

 

 

 

 

 

46


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(b) Details of major transactions with related parties for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

2026

 

 

 

 

 

 

Purchase and others

 

 

Sales

and others

 

 

Dividend
income

 

Purchase of raw material and others

 

Others(*)

Subsidiaries

 

 

 

 

 

 

 

 

LG Display America, Inc.

W

3,418,698

 

-

 

-

 

4,348

LG Display Japan Co., Ltd.

 

124,461

 

-

 

-

 

37

LG Display Germany GmbH

 

261,070

 

-

 

-

 

1,954

LG Display Taiwan Co., Ltd.

 

494,037

 

-

 

-

 

1,073

LG Display Nanjing Co., Ltd.

 

7,328

 

-

 

359,163

 

2,270

LG Display Shanghai Co., Ltd.

 

100,899

 

-

 

-

 

153

LG Display Shenzhen Co., Ltd.

 

24,438

 

-

 

-

 

-

LG Display Yantai Co., Ltd.

 

-

 

-

 

3,132

 

-

LG Display Singapore Pte. Ltd.

 

421,189

 

-

 

-

 

16,617

L&T Display Technology (Fujian) Limited

 

25,985

 

-

 

-

 

2

Nanumnuri Co., Ltd.

 

108

 

-

 

-

 

9,248

LG Display Guangzhou Trading Co., Ltd.

 

31,623

 

-

 

-

 

-

LG Display Vietnam Haiphong Co., Ltd.

 

24,106

 

-

 

804,696

 

14,765

Suzhou Lehui Display Co., Ltd.

 

2,711

 

-

 

14

 

-

LG Display High-Tech (China) Co., Ltd.

 

10,568

 

-

 

447,332

 

2,478

47


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(In millions of won)

 

2026

 

 

 

 

 

 

Purchase and others

 

 

Sales

and others

 

 

Dividend income

 

Purchase of raw material and others

 

Others(*)

Associates

 

 

 

 

 

 

 

 

Paju Electric Glass Co., Ltd.

W

-

 

3,415

 

61,146

 

2,327

Material Science Co., Ltd.

 

-

 

-

 

1,383

 

468

Entity that has significant influence over the Company

 

 

 

 

 

 

 

 

LG Electronics Inc.

W

102,317

 

-

 

2,565

 

32,520

 

 

 

 

 

48


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(In millions of won)

 

2026

 

 

 

 

 

 

Purchase and others

 

 

Sales

and others

 

 

Dividend

income

 

Purchase of raw material and others

 

Others(*)

Subsidiaries of the entity that has significant influence over the Company

 

 

 

 

 

 

 

 

LG Electronics India Pvt. Ltd.

W

4,395

 

-

 

-

 

10

LG Electronics Vietnam Haiphong Co., Ltd.

 

61,245

 

-

 

-

 

1,085

LG Electronics Reynosa S.A. DE C.V.

 

-

 

-

 

-

 

213

LG Electronics do Brasil Ltda.

 

1,487

 

-

 

-

 

11

LG Electronics Egypt S.A.E

 

3,224

 

-

 

-

 

4

LG Innotek Co., Ltd.

 

1,925

 

-

 

-

 

27,010

P.T. LG Electronics Indonesia

 

2,995

 

-

 

-

 

145

Others

 

1

 

-

 

-

 

6,786

Total

W

5,124,810

 

3,415

 

1,679,431

 

123,524

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(*) Others include the amount of the acquisition of property, plant, and equipment.

 

 

49


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(In millions of won)

 

2025

 

 

 

 

 

 

Purchase and others

 

 

Sales

and others

 

 

Dividend
income

 

Purchase of raw material and others

 

Others(*)

Subsidiaries

 

 

 

 

 

 

 

 

LG Display America, Inc.

W

3,298,372

 

-

 

-

 

848

LG Display Japan Co., Ltd.

 

180,510

 

-

 

-

 

2

LG Display Germany GmbH

 

358,767

 

-

 

-

 

12,831

LG Display Taiwan Co., Ltd.

 

634,166

 

-

 

-

 

594

LG Display Nanjing Co., Ltd.

 

19,199

 

-

 

323,384

 

1,819

LG Display Shanghai Co., Ltd.

 

131,180

 

-

 

-

 

72

LG Display Guangzhou Co., Ltd.

 

3,578

 

93,389

 

47,666

 

58,480

LG Display Shenzhen Co., Ltd.

 

114,987

 

-

 

-

 

-

LG Display Yantai Co., Ltd.

 

10

 

-

 

54,600

 

3,164

LG Display (China) Co., Ltd.

 

968

 

-

 

357,672

 

56

LG Display Singapore Pte. Ltd.

 

352,240

 

-

 

-

 

7,326

L&T Display Technology (Fujian) Limited

 

41,338

 

-

 

-

 

14

Nanumnuri Co., Ltd.

 

76

 

-

 

-

 

6,621

LG Display Guangzhou Trading Co., Ltd.

 

76,845

 

-

 

-

 

-

LG Display Vietnam Haiphong Co., Ltd.

 

20,958

 

-

 

805,650

 

15,873

Suzhou Lehui Display Co., Ltd.

 

18,243

 

-

 

1,930

 

-

LG Display High-Tech (China) Co., Ltd.

 

1,889

 

-

 

644,243

 

2,214

 

50


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

 (In millions of won)

 

2025

 

 

 

 

 

 

Purchase and others

 

 

Sales

and others

 

 

Dividend income

 

Purchase of raw material and others

 

Others(*)

Associates

 

 

 

 

 

 

 

 

Paju Electric Glass Co., Ltd.

 

-

 

1,664

 

63,764

 

2,445

Material Science Co., Ltd.

 

-

 

-

 

157

 

-

Entity that has significant influence over the Company

 

 

 

 

 

 

 

 

LG Electronics Inc.

W

70,064

 

-

 

1,982

 

40,234

 

 

 

 

 

 

 

 

 

 

 

 

51


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(In millions of won)

 

2025

 

 

 

 

 

 

Purchase and others

 

 

Sales

and others

 

 

Dividend

income

 

Purchase of raw material and others

 

Others(*)

Subsidiaries of the entity that has significant influence over the Company

 

 

 

 

 

 

 

 

LG Electronics India Pvt. Ltd.

W

7,222

 

-

 

-

 

23

LG Electronics Vietnam Haiphong Co., Ltd.

 

49,603

 

-

 

-

 

295

LG Electronics Reynosa S.A. DE C.V.

 

2,105

 

-

 

-

 

583

LG Electronics do Brasil Ltda.

 

2,059

 

-

 

-

 

17

LG Electronics Egypt S.A.E

 

3,010

 

-

 

-

 

3

LG Innotek Co., Ltd.

 

1,542

 

-

 

-

 

13,731

P.T. LG Electronics Indonesia

 

8,764

 

-

 

-

 

238

Others

 

3

 

-

 

-

 

5,622

Total

W

5,397,698

 

95,053

 

2,301,048

 

173,105

 

(*) Others include the amount of the acquisition of property, plant, and equipment, and the purchase amount of LG Display High-Tech (China) Co., Ltd. Shares held by LG Display Guangzhou Co., Ltd.

 

 

 

52


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(c) Details of balances of receivables and payables from transactions with related parties as of March 31, 2026 and December 31, 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

Trade accounts and notes receivable

and others

 

Trade accounts and notes payable

and others

 

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

Subsidiaries

 

 

 

 

 

 

 

 

LG Display America, Inc.

W

353,244

 

1,391,967

 

1,633

 

929

LG Display Japan Co., Ltd.

 

120,819

 

168,299

 

65

 

14

LG Display Germany GmbH

 

282,621

 

299,107

 

2,037

 

635

LG Display Taiwan Co., Ltd.

 

517,590

 

501,455

 

67

 

830

LG Display Nanjing Co., Ltd.

 

19

 

35

 

2,946,694

 

3,145,150

LG Display Shanghai Co., Ltd.

 

107,566

 

85,207

 

52

 

39

LG Display Guangzhou Trading Co., Ltd.

 

17,635

 

63,467

 

-

 

-

LG Display Shenzhen Co., Ltd.

 

13,652

 

16,368

 

-

 

-

LG Display Yantai Co., Ltd.

 

-

 

-

 

13,649

 

107,877

LG Display Singapore Pte. Ltd.(*1)

 

274,826

 

335,673

 

1,816,378

 

1,722,118

L&T Display Technology (Fujian) Limited

 

18,980

 

26,406

 

88,177

 

92,078

Nanumnuri Co., Ltd.

 

11

 

125

 

3,160

 

3,492

LG Display Vietnam Haiphong Co., Ltd.

 

10,480

 

12,123

 

1,867,642

 

1,535,441

Suzhou Lehui Display Co., Ltd.

 

1,699

 

1,288

 

14

 

13

LG Display High-Tech (China) Co., Ltd.

 

58,070

 

34,596

 

2,756,820

 

2,686,382

 

 

 

 

 

 

 

 

 

 

53


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(In millions of won)

 

 

 

 

Trade accounts and notes receivable

and others

 

Trade accounts and notes payable

and others

 

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

Associates

 

 

 

 

 

 

 

 

Paju Electric Glass Co., Ltd.

W

-

 

-

 

45,199

 

62,277

Material Science Co., Ltd.

 

-

 

-

 

769

 

385

Entity that has significant influence over the Company

 

 

 

 

 

 

 

 

LG Electronics Inc.

W

111,227

 

92,905

 

32,995

 

27,416

 

 

 

 

 

54


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(In millions of won)

 

 

 

 

Trade accounts and notes receivable

and others

 

Trade accounts and notes payable

and others

 

 

March 31, 2026

 

December 31, 2025

 

March 31, 2026

 

December 31, 2025

Subsidiaries of the entity that has significant influence over the Company

 

 

 

 

 

 

 

 

LG Innotek Co., Ltd.(*2)

W

1,124

 

2,025

 

175,021

 

167,695

P.T. LG Electronics Indonesia

 

1,092

 

1,182

 

4

 

36

LG Electronics Reynosa S.A. DE C.V.

 

-

 

-

 

36

 

-

LG Electronics India Pvt. Ltd.

 

3,236

 

2,441

 

-

 

-

LG Electronics Vietnam Haiphong Co., Ltd.

 

22,849

 

21,735

 

10

 

12

LG Electronics do Brasil Ltda.

 

973

 

1,128

 

9

 

1

LG Electronics Egypt S.A.E

 

2,167

 

1,288

 

-

 

3

Others

 

3

 

4

 

5,791

 

3,503

Total

W

1,919,883

 

3,058,824

 

9,756,222

 

9,556,326

 

(*1) Trades accounts and notes payable and others for LG Display Singapore Pte. Ltd. as of March 31, 2026 includes borrowings of USD 1,200 million (W1,816,080 million), and as of December 31, 2025 includes borrowings of USD 1,200 million (W1,721,880 million).

 

(*2) Trade accounts and note payable and others for LG Innotek Co., Ltd. includes deposits received from lease agreement of W139,500 million as of March 31, 2026 and December 31, 2025.

 

 

55


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(d) Details of significant financial transactions with related parties and others for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

 

 

 

2026

(In millions of won)

 

Company Name

 

Borrowings

 

Repayment

Subsidiary

LG Display Singapore Pte. Ltd.(*)

W

1,738,440

 

1,738,440

 

(*) As of March 31, 2026, the borrowing agreement with LG Display Singapore Pte. Ltd. is valid with a limit of USD 1,200 million (W1,816,080 million), of which USD 1,200 million (W1,816,080 million) has been executed and is included in short-term borrowings.

 

For the three-month period ended March 31, 2026, the Company contributed W328 million in cash for the capital increase of LG DISPLAY FUND I LLC.

 

 

 

 

2025

(In millions of won)

 

Company Name

 

Borrowings

 

Repayment

Subsidiary

LG Display Singapore Pte. Ltd.(*)

W

1,591,851

 

2,117,523

 

(*) As of March 31, 2025, the borrowing agreement with LG Display Singapore Pte. Ltd. is valid with a limit of USD 1,200 million (W1,759,800 million), of which USD 1,110 million (W1,627,815 million) has been executed and is included in short-term borrowings.

 

For the three-month period ended March 31, 2025, the Company contributed W1,098 million in cash for the capital increase of LG DISPLAY FUND I LLC and decreased by W17,200 million as a result of acquisition and disposal of Money Market Trust in addition to the above transactions.

 

56


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(e) Large Enterprise Group Transactions

 

According to the 'Related Party Disclosures' under the Korean IFRS 1024, although not included in the scope of related parties, the major transaction details with the Large Enterprise Group subsidiaries and their affiliates, as well as the amounts of receivables and payables for the three-month periods ended March 31, 2026 and 2025 and as of March 31, 2026 and December 31, 2025, in accordance with the Monopoly Regulation and Fair Trade Act, are as follows:

 

(In millions of won)

 

For the three-month period ended March 31, 2026

 

March 31, 2026

 

 

Sales

and others

 

Purchase and others

 

Trade accounts and notes receivable

and others

 

Trade accounts and notes payable and others

LG Uplus Corp.

W

-

 

556

 

-

 

148

LG Chem Ltd. and its subsidiaries

 

100

 

55,950

 

128

 

57,484

D&O Corp. and its subsidiaries

 

65

 

2,231

 

173

 

1,120

LG Corp.(*)

 

-

 

12,472

 

7,096

 

-

LG Management Development Institute

 

-

 

12,548

 

3

 

620

LG CNS Co., Ltd. and its subsidiaries

 

-

 

39,328

 

4

 

40,368

HSAD Inc. and its subsidiaries

 

-

 

301

 

-

 

299

Robostar Co., Ltd.

 

-

 

5

 

-

 

5

Total

W

165

 

123,391

 

7,404

 

100,044

 

(*) According to the lease agreement signed with LG Corp., the recognized lease liabilities as of March 31, 2026 are W3,472 million, and the lease liabilities are not included in the amount of 'Trade accounts and notes payable and others' above. The amount of lease repayment for the three-month period ended March 31, 2026 is W1,178 million.

 

 

 

57


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(In millions of won)

 

For the three-month period ended March 31, 2025

 

December 31, 2025

 

 

Sales

and others

 

Purchase and others

 

Trade accounts and notes receivable

and others

 

Trade accounts and notes payable and others

LG Uplus Corp.

W

-

 

589

 

-

 

163

LG Chem Ltd. and its subsidiaries

 

88

 

72,653

 

33

 

39,943

D&O Corp. and its subsidiaries

 

64

 

2,384

 

-

 

3,942

LG Corp.(*)

 

-

 

14,009

 

6,911

 

12

LG Management Development Institute

 

-

 

9,679

 

3

 

386

LG CNS Co., Ltd. and its subsidiaries

 

-

 

38,152

 

4

 

88,383

HSAD Inc. and its subsidiaries

 

-

 

525

 

-

 

127

Robostar Co., Ltd.

 

-

 

1

 

-

 

17

Total

W

152

 

137,992

 

6,951

 

132,973

 

 

(*) According to the lease agreement signed with LG Corp., the recognized lease liabilities as of December 31, 2025 are W4,607 million, and the lease liabilities are not included in the amount of 'Trade accounts and notes payable and others' above. The amount of lease repayment for the three-month period ended March 31, 2025 is W1,727 million.

 

58


LG DISPLAY CO., LTD.

Notes to the Condensed Separate Interim Financial Statements

March 31, 2026 and 2025 (Unaudited)

 

25. Related Parties and Others, Continued

 

(f) Key management personnel compensation

 

Details of compensation costs of key management for the three-month periods ended March 31, 2026 and 2025 are as follows:

 

(In millions of won)

 

 

 

 

 

 

2026

 

2025

Short-term benefits

W

1,550

 

600

Post-employment benefit

 

97

 

93

Total

W

1,647

 

693

 

Key management refers to the registered directors who have significant control and responsibilities over the Company’s operations and business.

 

(g) At the end of the reporting period, the Company did not set an allowance for doubtful accounts on the balance of receivables for related parties.


 

59


 

.

 

 

 

 

 

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 Display Co., Ltd.

(Registrant)

Date: May 15, 2026 By: /s/ Kyu Dong Kim__________________

(Signature)

Name: Kyu Dong Kim

Title: Vice President / Finance & Risk Management Division