based on the Morgan Stanley report that I always refer to
LGD's 8.5G is 2200X2500mm
Sharp's 8G is 2160X2400mm
Sharp's 10G is 3000X3320 for Sakai2 and 2880X3130 for Sakai1
Originally Posted by rogo
I doubt Sharp's comeback plan is oriented around selling profitless $3000 TVs. Ergo, I believe they are making a decent profit even at $3000.
That said, it's probably not the same margins as Samsung's and LG's more profitable sets.
To digress a bit, profit is a very fuzzy thing in accounting
If we look at cash profit or EBITDA margin then I think they should be excess 10% for Sharp. In 4Q LGD had operating margin of -6% and EBITDA margin of 6.1% with a 12% depreciation cost. Depreciation cost (which is fixed) spread over 65 units or over 95 units will be very different ie utilisation. So it depends how you look at it from a strategic and shareholder point of view
Sharp could essentially sell at lower EBITDA margins just to improve negative operating margins (yup magical isn't it) ie the traditional high volume lower margin model, to spread out the depreciation cost. Hence my reference as a beachhead and it could well be a good comeback plan. My gripe is that they could priced higher if there is no competition
ie they misjudged the competition or they think demand for huge size will only come at these prices.