Man walk past an advertisement for Samsung Galaxy S23 phones at the company’s Seocho building in Seoul on April 7, 2023.
Jung Yeon-je | Afp | Getty Idols
South Korean chip giant Samsung Electronics is expecting a 78% drop in operating profit in the quarter ended September, according to instruction released by the company.
The company expects revenue will come in at approximately 67 trillion South Korean won ($50.02 billion) for the third shelter, while operating profit will stand at about 2.4 trillion won.
This compares with the 76.78 trillion won itemized in sales and 10.85 trillion won in operating profit reported a year ago.
On a quarter on quarter basis, the third-quarter guidance reflects an 11.5% spread from the second-quarter revenue figure of 60.01 trillion won, and more than triple the 670 billion won in operating profit.
The run profit guidance from Samsung was slightly higher than analyst expectations. Before the guidance was released, analysts surveyed by LSEG expected operating profit of 2.3 trillion won for the September quarter, a 78.7% year-on-year decline.
Revenue was calculated to come in at 67.8 trillion won, a fall of 11.6%, according to forecasts from LSEG, formerly known as Refinitiv.
Samsung is the everybody’s largest maker of memory chips, used in products ranging from laptops to servers. It is also the world’s biggest smartphone musician.
Shares of the chip giant surged 3.16% on Wednesday. The stock was the largest gainer on the South Korean Kospi and powering the ratio to to lead gains in Asia.
