Market Digest

Samsung Q1 profit surged 45pc

6 April, 2021 12:00 AM printer

SEOUL: Samsung Electronics likely saw a 45 per cent jump in profit for January-March on robust sales of smartphones, TVs and home appliances, though chip division earnings are seen tumbling after a storm suspended production at its US plant.

Spending more time at home due to the coronavirus pandemic, consumers have splashed out on an array of high-margin consumer electronics which in turn has helped cause a global shortage of semiconductors, report agencies.

Operating profit for the South Korean tech giant in the quarter is expected to have climbed to 9.3 trillion won (US$8.2 billion), according to a Refinitiv SmartEstimate drawn from 16 analysts. SmartEstimates assign more weight to forecasts from consistently accurate analysts.

That would mark Samsung’s highest operating income level for the first quarter since 2018. Revenue likely rose 12 per cent.

Samsung is scheduled to announce preliminary first-quarter results on Wednesday.

In particular, its mobile division looks like it had a stand-out quarter, benefiting from the launch of its Galaxy S21 series in mid-January - more than a month ahead of the flagship model’s usual annual release schedule.


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