SEC 1Q19 Earnings Reference Material

「SEC 1Q19 Earnings」Reference Material

□ 1Q19 results are expected to be below market expectations due to worse-

than-expected business conditions in the display and memory industries.

- Display: Earnings are likely to fall short of market expectations. In the

LCD business, amid weak seasonality, price declines were greater than

expected due to an increase in supply following increased capacity of

Chinese companies. In the OLED business, profitability worsened due to

a decline in demand for flexible products from large customers and

intense price competition with LTPS LCD panels.

- Memory: Price declines for major products are likely to exceed previous

expectations amid overall weak demand under seasonality.

□ To overcome difficult business conditions, the Company will strengthen

product differentiation based on its technological leadership while also

enhancing cost competitiveness via efficient resource management.

In the mid to long term, we will continue efforts to strengthen key

capabilities by boosting competitiveness of our major businesses while

securing sustained growth via strategic investments in R&D, new

businesses, etc.

※ This document contains forward-looking statements that relate to future events. Actual results may be materially different from those expressed above due to changes in the macro-economic situation, market conditions, etc.