* Second-quarter operating profit of 3.75 trillion won, which is expected to be 3.7 trillion won * Mobile phone sector profit more than doubled to 1.67 trillion won * Flat panel display division loss of 210 billion won * Warning business outlook is challenging * Company Share price rose 0.5% in stable market
Reuters, Seoul, July 29th - South Korea's largest memory chip maker South Korea's Samsung Electronics (005930. KS: Quotes) announced that quarterly profit sharply reduced by 25%, due to flat-panel display business for the second consecutive quarter of loss , masking the strong profit growth from mobile phone sales.
In terms of revenue, Samsung is the world's largest technology company. Samsung’s profitability will slowly pick up as global consumer demand hurts sales of computers, televisions, flat panel displays and semiconductors.
Samsung is also facing major challenges in the increasingly robust but highly competitive smartphone market. Apple (AAPL.O: Quotes) will launch the new iPhone in the coming months.
“As the demand for memory chips and TVs continues to slump, it is very difficult for the third quarter to make huge profits,†said Song Myung-sup, an analyst at HI Investment & Securities. "The best result of a money-losing flat-panel display business is not to lose or lose."
Samsung warned of challenging business prospects and stated that the uncertainty of the economic outlook may cause the demand for TV and memory chips to remain weak. The liquidity display (LCD) business, which is still at a loss, still brings the biggest drag on corporate profits.
Sony (6758.T: Quotes) and Panasonic (6752.T: Quotes) warned on Thursday that television sales were weak, especially in the United States and Europe. Philips (PHG.AS: Quotes) and Corning (GLW.N: Quotes) have also previously stated that demand is weak.
Samsung Electronics shares rose slightly in early trading on Friday. In the past three months, the stock has fallen by 5%, while the Korean Composite Index fell by 3% over the same period. The market value of Samsung Electronics is US$134 billion, which is greater than the sum of Sony, Nokia (NOK1V. Quotes), Toshiba (6502. T: Quotes), Panasonic, and LG Display (034220. KS: Quotes).
Samsung Electronics, the world's second-largest mobile phone maker, also reported operating profit of 3.75 trillion won (3.6 billion U.S. dollars) for the April-June period, according to analyst estimates from Thomson Reuters I/B/E/S 3.7. Trillion won.
The results are largely in line with Samsung Electronics' forecast earlier this month. At that time, the company expects operating profit to be between 3.5-3.9 trillion won.
Samsung Electronics’ operating profit for the previous quarter was 2.95 trillion won, compared to a record 5.01 trillion won in the same period last year.
Samsung Electronics' display business suffered a loss for the second consecutive quarter, and the loss amounted to 210 billion won, which was a small change from the previous quarter’s loss of 230 billion won.
Reuters, Seoul, July 29th - South Korea's largest memory chip maker South Korea's Samsung Electronics (005930. KS: Quotes) announced that quarterly profit sharply reduced by 25%, due to flat-panel display business for the second consecutive quarter of loss , masking the strong profit growth from mobile phone sales.
In terms of revenue, Samsung is the world's largest technology company. Samsung’s profitability will slowly pick up as global consumer demand hurts sales of computers, televisions, flat panel displays and semiconductors.
Samsung is also facing major challenges in the increasingly robust but highly competitive smartphone market. Apple (AAPL.O: Quotes) will launch the new iPhone in the coming months.
“As the demand for memory chips and TVs continues to slump, it is very difficult for the third quarter to make huge profits,†said Song Myung-sup, an analyst at HI Investment & Securities. "The best result of a money-losing flat-panel display business is not to lose or lose."
Samsung warned of challenging business prospects and stated that the uncertainty of the economic outlook may cause the demand for TV and memory chips to remain weak. The liquidity display (LCD) business, which is still at a loss, still brings the biggest drag on corporate profits.
Sony (6758.T: Quotes) and Panasonic (6752.T: Quotes) warned on Thursday that television sales were weak, especially in the United States and Europe. Philips (PHG.AS: Quotes) and Corning (GLW.N: Quotes) have also previously stated that demand is weak.
Samsung Electronics shares rose slightly in early trading on Friday. In the past three months, the stock has fallen by 5%, while the Korean Composite Index fell by 3% over the same period. The market value of Samsung Electronics is US$134 billion, which is greater than the sum of Sony, Nokia (NOK1V. Quotes), Toshiba (6502. T: Quotes), Panasonic, and LG Display (034220. KS: Quotes).
Samsung Electronics, the world's second-largest mobile phone maker, also reported operating profit of 3.75 trillion won (3.6 billion U.S. dollars) for the April-June period, according to analyst estimates from Thomson Reuters I/B/E/S 3.7. Trillion won.
The results are largely in line with Samsung Electronics' forecast earlier this month. At that time, the company expects operating profit to be between 3.5-3.9 trillion won.
Samsung Electronics’ operating profit for the previous quarter was 2.95 trillion won, compared to a record 5.01 trillion won in the same period last year.
Samsung Electronics' display business suffered a loss for the second consecutive quarter, and the loss amounted to 210 billion won, which was a small change from the previous quarter’s loss of 230 billion won.
Kaflon Measuring And Controlling Instruments Co., Ltd. , http://www.interwell-pen.com