Samsung Reports 12% Profit Growth, Predicts Weak Mobile and PC Demand
Samsung’s consolidated revenue for the second quarter of 2022 was 77.2 trillion South Korean won ($59.4 billion), a record high for the quarter ended June 30. Samsung’s operating profit also reached 14.1 trillion South Korean won ($10.8 billion), up 12% from the same period a year earlier and the best performance since 2018, division contributed significantly to these numbers and achieved an all-time high quarterly revenue for the second quarter in a row.
Demand for chips for consumer devices such as smartphones and PCs was much weaker than expected “due to macroeconomic problems.” Samsung’s DRAM and NAND sales were lower than planned. The company expects continued weak demand for consumer devices, and maybe for corporate ones.
The decline in market demand also affected Samsung Mobile eXperience (MX). The company blames “geopolitical issues and concerns about inflation, plus summer is also not conducive to sales. Component and logistics costs pushed margins below first-quarter results.
Samsung does not expect a sharp increase in smartphone sales in the third quarter due to geopolitical concerns and economic uncertainty. She pins some hopes on flexible smartphones, which will be announced on August 10.
