Samsung Electronics forecasts Q3 rebound

Samsung Electronics predicted Wednesday that its operating profits in the July-September period would recover to exceed 2 trillion won ($1.5 billion) after months of efforts to elevate profitability amid memory chip slump.
Samsung's third-quarter operating profits is estimated to hit 2.4 trillion won, a 77.9 percent plunge from a year ago, according to the company’s earnings guidance. The figure exceeded the 2.2 trillion won consensus by local analysts provided by market intelligence firm FnGuide.
It will likely mark the first time this year that the company sees at least a trillion won in quarterly profits. The firm's earnings struggled in the first and second quarters, logging 640 billion won and 670 billion won, respectively.
Third-quarter sales are estimated to decline 12.7 percent on-year to 67 trillion won. Yet the July-September figure soared 11.7 percent from the previous quarter’s 60.1 trillion won. The sales estimate was, however, lower than the consensus of 67.7 trillion won projected by FnGuide.

While Samsung did not release detailed performances of its key business units for Wednesday’s earnings guidance, market watchers expect its Device Solutions division, which oversees the chip business, will record a deficit of around 3 trillion won.
The size of the chip deficit will have decreased, from some 4 trillion won marked in the first and second quarters, according to their predictions. When the tech giant announced its earnings guidance for the January-March period in April, it officially announced that chip production had been cut to a “meaningful level” for the first time.
The narrowing deficit appears to be attributed to the meaningful profits earned from Samsung’s mobile and display units, thanks to the strong sales of the latest Galaxy Z Flip5 and Fold5 smartphones unveiled this July.
Korea Investment & Securities analyst Chae Min-sook said, “The main purpose of (Samsung’s) production cuts that have continued since the first half of the year is to reduce its inventory."
"The supply control effect resulting from the chip production cuts has already begun to appear, and the average selling price of DRAM will have turned upward starting from the third quarter," the analyst added.
The country’s bellwether stock jumped about 4 percent in early trading Wednesday as investors were boosted by the market’s rosy outlook and the company’s better-than-expected third-quarter results. Samsung's shared gained 2.71 percent to close at 68,200 won on the same day.
The world's largest memory chip and smartphone maker will release a detailed third-quarter earnings report on Oct. 31.
相关文章
HiteJinro soju seeks bigger footing in UK
South Korean liquor giant HiteJinro said Tuesday it is expanding its distribution network of soju pr2023-11-30"KTX 꼭 타보고 싶다" 했던 김정은 "만족한 합의"…뭐길래
13일 김정은 북한 국무위원장과 블라디미르 푸틴 러시아 대통령의 회담에 대해 14일 북한 매체들은 “(단독 정상회담에서)만족한 합의와 견해 일치를 봤다”고 보도했다. 김정은이 푸틴2023-11-30합의문도 없는 희한한 북·러 정상회담…결국 비즈니스 관계였나
김정은 북한 국무위원장이 13일 러시아 보스토치니 우주기지에서 블라디미르 푸틴 대통령과 정상회담, 연회 등 일정을 진행한 뒤 다음 방문지를 향해 떠났다고 노동당 기관지 노동신문이2023-11-30합의문도 없는 희한한 북·러 정상회담…결국 비즈니스 관계였나
김정은 북한 국무위원장이 13일 러시아 보스토치니 우주기지에서 블라디미르 푸틴 대통령과 정상회담, 연회 등 일정을 진행한 뒤 다음 방문지를 향해 떠났다고 노동당 기관지 노동신문이2023-11-30China’s AliExpress eyes expansion in Korea
AliExpress, an online direct purchase platform owned by Chinese e-commerce giant Alibaba Group, is c2023-11-30- 이재명 더불어민주당 대표의 1년간에 걸친 ‘방탄 공성전(攻城戰)’은 결국 내부에서 무너졌다.국회는 21일 본회의에서 이 대표 체포동의안을 무기명 표결에 부쳐 찬성 149표, 반대2023-11-30
最新评论