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Samsung Electronics’ Q1 profit drops to 6.2 trillion won

Samsung Electronics’ Q1 profit drops to 6.2 trillion won

Posted April. 06, 2019 08:41,   

Updated April. 06, 2019 08:41


Samsung Electronics Co. announced Friday its earnings guidance for the first quarter of 2019. The South Korean tech giant’s overall sales were estimated at 52 trillion won while its quarterly operating profit likely plunged to 6.2 trillion won, a 42.6 percent fall from the previous quarter (10.8 trillion won) and a 60.4 percent drop from a year ago (15.64 trillion won). This is the first time that the company’s quarterly operating earnings have fallen below 10 trillion won since the first quarter of 2017 (9.9 trillion won).

Samsung made a pre-announcement last Tuesday that it was expecting below analyst estimates due to unfavorable memory chip and display market conditions.

Industry watchers expect that semiconductor and display market conditions will improve in the second half of the year. “Demand for memory chips will start to pick up in the third quarter,” an industry official said.

Ji-Hyun Kim jhk85@donga.com · Dong-Jun Heo hungry@donga.com