Samsung first quarterly profit declines by massive 60 percent
April 5, 2019 | Investopaper
South Korean giant company Samsung Electronics has projected that its first quarterly profit for the year 2019 is likely to fall by around 60 percent than the last year quarterly profit for the same period.
The massive fall in the quarterly profit is due to the weaknesses in its display and memory business. The operating profit for the first three months has been projected to be around $5.5 billion. This is a major decline from last year quarterly profit.
The memory business is one of its most profit generating business for the company so the weak seasonal demand for the product has hit the company profit causing it to decline by a huge percentage.
Similarly, the shares of Samsung Company only fell slightly since the company had already warned the investors of the potential drop in its profit.
Likewise, the company forecasted a 29 percent drop in its fourth-quarter profit in 2018 due to a slowdown in sales of Samsung smartphones and memory chips.
