Samsung to release first financial results of the year: mobile phone sales fall

Analysts expect Samsung to announce its first quarterly earnings for 2020 next week, according tomedia Sam Mobile. Asmedia have previously reported, Samsung is one of many smartphone makers whose sales have fallen as a result of the coronavirus epidemic.

But despite the disappointing sales of the Galaxy S20, the company’s semiconductor business is progressing well, and demand and sales of semiconductors are actually growing, which is likely to change in the coming months. Revenue from Samsung’s wireless solutions, displays and home appliances division sits on the decline.

Samsung to release first financial results of the year: mobile phone sales fall

The company expects revenue to reach $44.9 billion in the first quarter of 2020, up 5.5 percent from the same period last year. However, operating profit fell 0.09% to $5 billion.

Hana Financial Investment estimates that Samsung will sell about 62.2 million smartphones by the first quarter of 2020, down from 71.5 million last year.

Analysis points out that consumers are less likely to buy new smartphones as often as they once did because of rising prices and better value for money. Most importantly, however, the coronavirus epidemic leaves most families at home without a steady income. Earlier this week, Samsung Electronics held a private conference call with its investors to discuss falling demand for smartphones, the report said. The South Korean giant’s Galaxy S20 series is estimated to be 40 percent selling less than its predecessor, the S10 series.