Samsung's quarterly profits fall 60 percent on back of weak chip sales

Samsung Galaxy Fold

Samsung Galaxy Fold

In this October 29, 2015 photo, a logo of Samsung Electronics Co.is seen at its shop in Seoul, South Korea.

The world's top maker of semiconductors, however, warned of more short-term pain in the second quarter, with memory chip prices likely to decline further before a rebound in demand as data centers re-stock later in the year. The profit and revenue results show declines of 60% and 13%, respectively, on year. Its chip business was particularly affected, with sales falling 30pc.

The decline has been attributed to slowing smartphone sales, a fall in the price of memory chips and lower demand for displays panels.

In mobile, despite the Galaxy S10's strong performance, heated competition in the low to mid-end hurt profitability, the company said.

The company's chip business is still its largest contributor however, adding 4.12 trillion won in operating profits, while Samsung's mobile business earned 2.27 trillion won.

Samsung shares ended down 0.65 percent in Seoul.

Samsung on Tuesday stood by its new Galaxy S10 5G model after a South Korean smartphone owner posted pictures online of a charred handset claiming it had mysteriously "burnt".

Domino’s employee attacked co-worker for spoiling ‘Avengers: Endgame,’ police say
Last week , a man outside a movie theater in Hong Kong was attacked when he shouted out spoilers to fans waiting in line to see the movie.

Galaxy Fold: What went wrong? As expected, the news isn't good.

The South Korean firm had spent almost eight years developing the Galaxy Fold as part of its strategy to propel growth with groundbreaking gadgets.

The tech giant, which three years ago was forced into an expensive and embarrassing global recall of its Galaxy Note 7 devices over exploding batteries, told AFP an "external impact" had caused the damage, rather than an internal glitch.

Samsung announced its most recent quarterly earnings.

In addition to being the world's largest mobile phone manufacturer, Samsung is a major supplier for its competitors - including great rival Apple - who rely on the company for components.

The 50-year-old scion was a key figure in the scandal that ousted former South Korean president Park Geun-hye following nationwide street protests, and was sentenced to five years in jail.

Samsung's memory chip business helped the company clinch record profits for past two years.

Recommended News

  • Leeds' Patrick Bamford charged with 'deception of a match official’

    Leeds' Patrick Bamford charged with 'deception of a match official’

    The forward was sent off for violent conduct during the EFL Championship fixture against Leeds United on Sunday [28/04/2019]. The fourth and final spot is yet to be decided with Derby County, Middlesbrough and Bristol City all in contention.
    Pete Davidson leaves comedy gig after love life jab

    Pete Davidson leaves comedy gig after love life jab

    He later posted a video making it clear he felt "disrespected" by the owner after the guy "did something I told him not to do". Davidson said he will make it up to the fans with a free show, and will announce a date in the near future.
    Toni Braxton’s 24-year-old niece Lauren Braxton dies

    Toni Braxton’s 24-year-old niece Lauren Braxton dies

    When they arrived, Lauren was reportedly unresponsive and pronounced dead on the scene by paramedics. TMZ reports that according to her father, Lauren's passing was as result of a fatal heart condition.
  • Cambridge Toyota to produce new Lexus NX models

    Cambridge Toyota to produce new Lexus NX models

    Last year, the company committed to invest $1.4 billion in its Cambridge and Woodstock plants in Ontario. Both touted the benefits of a Pacific trade deal that U.S.

    Here's what Barack and Michelle Obama are working on for Netflix

    The seven projects range from acquisitions to new material, fiction to non-fiction and content aimed at adults and at children. Their firm, called Higher Ground , is being run by filmmakers Priya Swaminathan and Tonia Davis .
    The ‘Sonic The Hedgehog’ Movie Trailer Is All Kinds Of Disturbing

    The ‘Sonic The Hedgehog’ Movie Trailer Is All Kinds Of Disturbing

    You'll note that it starts in a sleepy American place named Green Hills, aping ye olde Sonic the Hedgepig's first level. It stars Jim Carrey as villain Doctor Ivo Robotnik and actor/comedian Ben Schwartz as the voice of the title character.
  • Here's What to Know About Facebook's Biggest Redesign

    Here's What to Know About Facebook's Biggest Redesign

    I get that we don't have the strongest reputation on privacy right now, to put it lightly. "But I'm committed to doing this well". Facebook will also introduce Messenger for Mac and Windows and launch a feature called "Product Catalogue" for WhatsApp Business.
    Watch Kanye West Hilariously Surprise a Hollywood Tour Bus With Kim Kardashian

    Watch Kanye West Hilariously Surprise a Hollywood Tour Bus With Kim Kardashian

    Kardashian shared a video of the encounter on her Twitter page. "So cute!" Kim Kardashian West commented on the pic. Kanye also joked that their tour was "all downhill from here" and it was "over" after meeting the family.
    Chase deletes tweet offering unsolicited financial advice

    Chase deletes tweet offering unsolicited financial advice

    Chase , America's largest bank, joined the #MondayMotivation conversation on Twitter by offering tips to save money. A tweet from Chase was meant to encourage customers to save more money, but ended up badly missing the mark.
  • New Black Ops 4 Season Operation Spectre Rising Detailed

    New Black Ops 4 Season Operation Spectre Rising Detailed

    The Xbox One and PC release is usually one week after the PS4 launch, so expect it to drop on these platforms on May 7. And what update would be complete without new weapons , customization items, outfits, and even gestures.
    China sentences another Canadian to death for drug trafficking

    China sentences another Canadian to death for drug trafficking

    China has also canceled Canadian agribusiness Richardson International Ltd's registration to ship canola to China this year. It did not specify what sentences five of the nine received though it indicated the minimum they got was life in prison.
    Energizer Has Very Much Failed To Crowdfund Their Enormously Thicc Phone

    Energizer Has Very Much Failed To Crowdfund Their Enormously Thicc Phone

    While a phone that can go days without charging is a compelling prospect, it seems the P18K's massive size wasn't as appealing. You may remember that back in February at MWC 2019 in Barcelona, Energizer unveiled a boatload of phones.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.