Korea: Samsung Electronics, 2019 2Q results (consolidated basis): Decreased sales and profits

Korea: Samsung Electronics, 2019 2Q results (consolidated basis): Decreased sales and profits

Seoul

August 06, 2019

Korea: Samsung Electronics (see table)

On July 31, the company announced the results for the second quarter (April to June) of 2019 (consolidated basis).

amount of sales

56,130.0 billion won (down about 4.0% from the previous year) (about 505.7 billion yen, 1 won = about 0.09 yen),

Operating income

It was 6.60 trillion won, down 55.6% from the previous year.

Summary report:

“Sales and operating profits both declined due to a drop in memory sales prices and a slowdown in wireless business sales,” he explained.

The company announced its business results for the second quarter as follows.

◇ CE (Consumer Electronics) category

Sales: 11.07 trillion won, up 6.4% from the previous year.

Operating income: 710 billion won, up 39.2% from the previous year.

Expand sales of ultra-large TVs and QLED TVs.
Sales of white goods were strong as air conditioners and dryers entered the demand period in the Korean market.

◇ IM (IT & Mobile Communications) section

Sales: 25,860 billion won, up 7.7% from the previous year

Operating income: 1,560 billion won, a 41.6% decrease from the previous year.

Mobile business:

Decrease in sales of Galaxy S10
Intensifying competition for medium and low price lineup,
Increased marketing expenses and limited profit improvement.

◇ DS (Device Solution) Division

Sales: 23,530 billion won, down 15.1% from the previous year

Operating profit: 4,150 billion won, down 64.5% from the previous year.

Semiconductor business:

Decrease in sales due to inventory adjustments by major customers

Sales: 16.09 trillion won, down 26.8% from the previous year,

Operating profit: 3,400 billion won, down 70.7% from the previous year.

Display panel business

Recovered customer demand and strengthened cost competitiveness.

Net sales: 7,620 billion won

Operating income: 750 billion won

-JETRO

https://www.jetro.go.jp/biznews/2019/08/04a20b9fbaa340ea.html