Samsung Admits Losing More Money Than They Are Making

Samsung’s financial report for Q1 2023 has revealed that the company’s profits have fallen to a level not seen in the past 15 years.

The report shows that the operating profit for January to March has decreased by 18% YoY, while yield has plummeted from KRW 14.12 trillion to KRW 0.64 trillion – a staggering drop of 95%.

The decline in profits is likely due to weak demand and inventory adjustments from customers in the memory and semiconductor business. The display business has also suffered as the market for mobile panels contracted. 

However, the mobile experience division responsible for smartphones and smart devices was the least affected this quarter, with sales dropping only 2% YoY but increasing 22% every quarter. The division’s network business took a slight hit due to weakness in major overseas markets, but operating profit increased quarterly and yearly.

Samsung is hopeful that global demand will rebound in the second half of the year, which will assist in its recovery. The company has launched new premium smartphone models, such as the Galaxy S23 series, with the S23 Ultra performing particularly well to improve operational efficiency. 

Additionally, they are trying to boost the gate-all-around (GAA) based 2nm process and meet the demand for high-end products such as DDR and LPDDR5X.

The Korean maker plans to focus on cost efficiency in Q2 to improve short- and long-term profitability. While current market trends will likely stagnate in the next quarter, Samsung hopes its efforts to improve operational efficiency will help them bounce back from this uninspiring quarter.


Oppo Reno10 vs vivo S17 Series copy
Oppo Reno10 series VS Vivo S17 Series!
These OPPO Reno10 series and the Vivo S17 series have recently hit the Chinese market and are expected...
Read More
Xiaomi Software Updates copy
These Xiaomi smartphones will no longer receive software updates!
Xiaomi is no stranger to controversy when it comes to software support for Xiaomi smartphones. They’ve...
Read More
Xiaomi N7 copy
An unusual Xiaomi N7 design leaked online: Is Xiaomi joining the foldable gang?
A leaked report has surfaced, hinting at the development of a mysterious Xiaomi device known as the “Xiaomi...
Read More