Samsung may have done so much in the previous year, however, for some reasons, the tech giant managed to incure drop in price
Towards the end of last quarter, Samsung informed of the possibilty to encounter a drop in its mobility market. At a point it was prety difficult to believe the tech giant who must have foreseen such happening, however, the latest report from the company has just confirmed that in its earnings report. While the company is used to experiencing such slope in almost every quarte, it seem to be a little different in the last quarter with the guildance unexpectedly bad, resulting to a 10 percent revenue drop compared to the previous year.
Samsung says its earnings were primarily affected by falling demand for memory chips, usually its biggest profit driver, as well as slowing smartphone shipments and increased competition for mobile displays. The company doesn’t expect demand for memory to pick up this quarter, either, and is warning of weaker full-year performance overall with essentially flat smartphone sales.
Despite all odds, the company stand to boast of a record breaking year irrespective of the decline in the final quarter. That been sai, the tech giant believe so much in its upcoming Galaxy S10, hoping that it will work a miracle in the first Quarter of the year, hence, the company is expecting a profit rebound afterward. The tech giant is also banking on its foldable smartphone and the 5G feature, which the company says will be the alternative to ensure a “sustainable mobility growth” in an otherwise challenging market; with the S9 failing to sell well, Samsung needs a hit this year, and its next flagship stands to be the saving grace.