Samsung Q2 profit plummets

Seoul, Jul. 27, (dpa/GNA) – Samsung Electronics Co Ltd reported a profit for the second quarter that dropped 85.88% from last year as weak demand for memory chips persists.

Quarterly sales also declined 22.28% from the previous year.

The South Korean electronics giant reported that its net income attributable to the shareholders of the parent company for the second-quarter dropped 85.88% to 1.55 trillion Korean won ($1.22 billion) from 10.95 trillion won in the same quarter last year.

Operating profit for the quarter also dropped 95.26% to 0.67 trillion won from 14.10 trillion won in the previous year.

Quarterly sales were 60.01 trillion won down 22.28% from 77.20 trillion won last year.

The Device Solutions Division posted 14.73 trillion won in consolidated revenue and 4.36 trillion won in operating losses for the second quarter.

Samsung Display Corporation Division posted 6.48 trillion won in consolidated revenue and 0.84 trillion won in operating profit for the second quarter.

The Mobile eXperience and Networks businesses posted 25.55 trillion won in consolidated revenue and 3.04 trillion won in operating profit for the second quarter.

For the second half of 2023, the overall smartphone market is expected to return to year-on-year growth, especially in the premium market.

However, external forecasts for market growth have also been lowered, amid risks of a prolonged global economic downturn, the company said. Regarding tablets, the overall market is expected to stay mostly flat, but the high-end segment is projected to increase.

The Mobile eXperience Business intends to grow its annual revenue in 2023, while securing sold double-digit profitability through enhanced operational efficiency.

The Visual Display and Digital Appliances businesses recorded 14.39 trillion won in consolidated revenue and 0.74 trillion won in operating profit for the second quarter.

GNA