Samsung hits operating income of 9 tril won in Q4
Mobile business likely dented by iPhone 12 launch
Samsung Electronics on Friday said it has posted sales of 61 trillion won and operating income of 9 trillion won in the fourth quarter of 2020.
It is rise of 1.87% and 25.7%, respectively, from the fourth quarter of 2019. It is a drop of 8.9% and 27.13%, respectively, from the previous quarter.
Samsung’s full year earnings for 2020 comes to 236.26 trillion won in sales and 35.95 trillion won. It is a rise of 2.54% and 29.46%, respectively from 2019.
The company’s fourth quarter earnings were slightly below the consensus of South Korean analysts. They expected sales of 61.2 trillion won and operating income of 9.5 trillion won.
Unfavorable exchange rate between the US dollar and the Korean won likely effected the earnings of the semiconductor business.
IT and mobile business likely saw sales decline from Apple’s launch of the iPhone 12 series.
Consumer electronics business likely posted strong profits. The business had posted record profits in the third quarter.
Samsung Display likely saw its earnings increase substantially from Apple’s expanded use of OLED.
South Korean analysts expect the semiconductor business to have posted 4.1 trillion won in operating income. They expect the mobile business to post 2.4 trillion won, the consumer electronics business 1.2 trillion won and Samsung Display 1.3 trillion won.
Samsung is expected to earnings rise this year from high demand for memory semiconductors. South Korean analysts are expecting an annual operating income of 50 trillion won.