Samsung Electronics has released the results of the second quarter are in line with the earlier guidelines, that is, they are not great. The operating result decreased by 56 percent on an annual basis to 6.6 trillion won – the lowest since the company had to contend with the impact of the Galaxy Note 7 fire risk in 2016 – while sales fell by 4 percent to 56.13 trillion won.
Samsung largely explains its problems due to weak market conditions for its important semiconductor activities, despite a slight increase in memory demand. The situation is expected to improve somewhat in the second half of the year, although Samsung warns of "external uncertainties," probably a reference to the implications of various international trade disputes.
While sales at Samsung & # 39; s mobile division increased by 8 percent, profits fell by 42 percent on an annual basis. Samsung says the total number of phone transmissions has increased, with strong sales for mid-range models such as the Galaxy A50 and A70, but the flagship (and more profitable) Galaxy S10 experienced a "weak sales momentum" during the quarter.
Samsung hopes that the upcoming launch of the Galaxy Fold and the Galaxy Note 10 will help its premium smartphone sales, and the company also plans to launch "more competitive A-series models" in the second half of this year . Meanwhile, display activities are expected to improve their performance with higher deliveries of OLED screens, with Samsung believing that phone manufacturers will opt for thinner panels to reduce the design limitations of 5G devices.