Galaxy Note 10 should help mobile sector, but Samsung may drop profits by 60%

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SamsungDespite possible investments in its display industry, 2019 has been a challenging year for Samsung. This is because, following the strategy used earlier this year, South Korean once again issued a statement to its investors warning of the “turmoil” of the third quarter.

According to Samsung, its operating profit is expected to shrink 60.2% in this period. The main reason is the oversupply of semiconductors such as flash memory chips and DRAM. Thus, analysts believe South Korea’s operating profit is expected to reach $ 5.83 billion in the current quarter.

Despite representing a considerable drop compared to the same period of 2018 ($ 15.5 billion), the third quarter result will be better than achieved earlier this year.

In a brief comparison, South Korea’s operating profit was $ 5.6 billion in the second quarter of this year. Already revenues were only $ 48 billion, something that should reach $ 50 billion in the third quarter (July-September).

So this will be the first time this year that revenues will reach $ 50 billion. To get an idea of ​​the problem, Samsung has not recorded such “high” numbers since the third quarter of 2018. So despite the 60% drop, the company still has reason to celebrate.

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For now, all data is still a market estimate. Still, analysts believe Samsung should also record positive numbers in the mobile sector. This is due to an increase in demand for high-end handsets such as the newly launched Galaxy Note 10 and 10 Plus.

Source: en.yna.co.kr

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