Samsung once again posted firm earnings for the second quarter because of the sustained demand for memory chips in spite of the drop in the shipment of the smartphone. Samsung, the South Korean company stated on Thursday that it expects 14 trillion won in operating profit and it was seen that 77 trillion won in revenue for the second quarter. It is also an increase of 11.4% and 21% respectively, for the same time period in the previous year.
The analyst of South Korea are predicting a strong performance from Samsung’s chip division and a favorable exchange rate for the Korean won to have contributed to the growth. A lot of orders for memory chips from the server sector pushed Samsung’s growth for the earlier three quarters and is expected to have continued through the second quarter.
But it was seen that Samsung’s smartphone and TV operations are reported to have lower sales due to inflation and also there is less demand for consumer electronics worldwide.
Counterpoint Research stated that global smartphone shipments have dropped by 10% year-on-year to 96 million units in May which is quite a significant drop caused by the burden of the supply chain and also the demand on the pre-pandemic level.
