After horrible 2023, Samsung's profit set to recover by almost ten-fold

Samsung’s underwhelming profit 2023 is coming to an end, as the South Korean giant slowly recovers, thanks to its projected memory chip sales. The company said on Friday that it’s expecting a ten-fold recovery in operating profit in the first quarter of this year.

Samsung will release its Q1 report by the end of this month. The company is positive that its operating profit will rise by 931% to over 6.6 trillion Korean won, almost $4,9 billion in US Dollars, and another 71 trillion Korean won in revenue (an approximately 11% increase, $52.5 trillion US dollars).

Thanks to the global economic slowdown caused by inflation and years of pandemic, the need for Samsung’s chips and overall demand for TVs and smartphones nosedived last year. The company then recorded its worst financial performance in over a decade, making a profit of just 0.64 trillion won or an approximative US$ 556.2 billion in Q1 of 2023.

But in the third quarter of 2023, Samsung reported a 12% increase in consolidated revenue from the previous quarter, bringing a sum of 67.40 trillion Korean won (about $50 billion in US Dollars).

Samsung’s smartphone and memory chip profits surged. Next quarter, they’ll push high-value memory products and premium devices like HBM3. The display business will promote OLED displays to key customers in sectors like foldable smartphones, IT, automotive, and gaming.