Samsung warns of earnings miss, due partially to weaker chip sales

Samsung warns of earnings miss, due partially to weaker chip sales

South Korean tech giant’s shares slip only slightly

Shares of Samsung Electronics Co. fell slightly Tuesday after the company issued a premarket earnings warning.

The South Korean electronics giant said first-quarter results will miss consensus views because of weakened sales of its display panels and memory chips.

The softness, especially in memory chips, is already well-known. Still, it’s important for Samsung, as despite the company being the world’s largest smartphone maker, it obtained 79% of its 2018 operating profit from electronic components.

Samsung shares 005930, -0.55% were last down 0.3%, adding to Monday’s 2.3% decline and leaving the company’s stock flat for March. Still, it’s up 17% for the year.

Smaller memory-chip maker SK Hynix 000660, -0.27% was off 0.7% Tuesday.

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