The entire world is going through an economic downturn, and while some companies have managed to recover, some are still struggling. We have known Samsung for going through some tough times, especially when you are looking at its semiconductor segment, where the company faced huge losses in the past.
Despite low profit in the third quarter, the road to recovery for Samsung looks good
However, Samsung seems to be kicking back as the company has shared its earnings guidance for Q3 2023, showing how the losses in the semiconductor segment are narrowing, and the results are better than expected. The profits are still low compared to last year, but when compared to the last quarter, things are looking better for the South Korean tech firm.
Samsung Electronics reported that the revenue could be around KRW 67 trillion ($50.07 billion), with the profits hitting KRW 2.4 trillion ($1.79 billion). Looking at this number, you see a 77% drop in operating profit when compared to Q3 2022, but it also is a 400% improvement when compared to the KRW 0.6 trillion (around $459 million) that the company managed in Q2 2023. The sales are still a 12% year-over-year drop, but thankfully, this is going to change in the coming quarters as analysts talk about how the semiconductor chip demand will start rising once again.
Back in Q2 2023, Samsung reported the worst profit in 14 years and its first loss in the semiconductor chip segment. The profits were not looking good either, but it appears that the company is looking at a recovery, and we might see some proper profits reeling in soon enough.
Samsung is not only in the business of making semiconductor chips as the company also makes OLED panels for phones and TVs, camera sensors, and a lot more. We can expect a full Q3 2023 earnings report at the end of this month and will get a proper understanding of how much water the company currently stands in.
News Source: Samsung Newsroom
About the author: I have been tinkering with Android devices ever since the early days of the HTC Desire. Over time, I have grown a fondness for the ecosystem and now I cannot live without it. Although some might believe that I have sold my soul to Android, but I believe it is not the case. You can find me writing tutorials and posting guides on a number of different smartphones. When I am not writing here, I am wasting myself away in books, journals, or on Steam.
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