Samsung blames lower mobile division sales on disappointing Galaxy S9 sales verkoop
Samsung has released its quarterly figures, noting that its mobile division had less turnover than in previous quarters. According to the manufacturer, the disappointing sales of its Galaxy S9 smartphone was the reason.
In announcing its financials for the second quarter of this year, Samsung writes: “In the stagnant market for high-end smartphones, the IT & Mobile Communications division reported a decline in sales compared to the previous quarter and last year, due to slow sales of the Galaxy S9.” Later in the message, Samsung adds that the S9+ is also part of this and that the phasing out of older models also contributed to the decline in turnover. The division’s profit was depressed by higher marketing costs. Samsung does not mention numbers of smartphones sold.
The mobile division achieved a quarterly turnover of 22.67 trillion won, or approximately 17.3 billion euros, on a total quarterly turnover of 58.4 trillion won. That is a decrease of 22 percent compared to the previous year. According to the company, Samsung’s screen division also had to deal with declining sales due to low demand for OLED panels, in combination with a falling price and declining deliveries of LCD panels. Samsung expects the sale of OLED panels to recover in the second half of the year. The same expectation is there for the mobile division. Samsung expects a lot of competition in this area and therefore wants to release ‘a new Note device’ earlier. Samsung is probably referring to the Galaxy Note 9, which will be presented on August 9. The device is expected to go on sale later that month. The Note 8 came out in mid-September last year.
The chip division did show revenue and profit growth, which Samsung attributes to demand for dram and nand memory. The consumer electronics division, where the South Korean manufacturer sells its TVs, saw more profits from ‘a big football event’. Samsung’s total net profit for the quarter amounted to 11.04 trillion won, about 8.44 billion euros. That’s slightly less than a year earlier and also less than the previous quarter, bringing his record profits to an end.