Business & Economy

Samsung expects operating profit to grow 53.4% between April-June

Seoul, Jul 7 (EFE).- South Korean tech giant Samsung Electronics announced Wednesday that it expects an operating profit of about 12.5 trillion Korean won (around $10.99 billion) in the second quarter, a year-on-year increase of 53.4 percent, driven by a good performance by its chips division.

This would also be 33.3 percent more than the operating profit that the South Korean tech giant posted between January and March of this year.

In its earnings guidance report, the company, which is headquartered in Suwon, forecast that consolidated sales for the April-June period will be about 63 trillion Korean won.

This is 19 percent more than that of the same period of 2020 but 3.65 percent lower than the figure Samsung recorded in the first quarter of this year.

Both figures beat most analysts’ estimates.

In the first quarter of 2021, sales of mobile phones and televisions offset the slowdown in the semiconductor and IC division, normally the most profitable for the South Korean company.

Most analysts believe that a solid performance by its semiconductor business between April and June would offset a lukewarm quarter for its mobile phone division.

As usual, Samsung, the world’s largest memory chip maker, did not disclose concrete data on its three main business divisions — semiconductors, mobile phones and consumer electronics — or information about its net profit estimate.

Samsung will release its final results for the second quarter at the end of the month. EFE


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