Samsung’s Stronger-Than-Expected Earnings Point To Recovery
Samsung exceeded expectations for Q2 2020, suggesting that the company may be recovering from the disruptions caused by the COVID-19 pandemic. The company posted an operating profit of 8.1 trillion Korean won ($9.7 billion), surpassing the original estimate of 6.2 trillion Korean won ($7.5 billion).
Consolidated sales totalled approximately 52 trillion Korean won ($63 billion) in Q2, which does represent a slight fall compared to Q1 (55.3 trillion Korean won), though the COVID-19 pandemic did not impact many of Samsung’s markets until late in that quarter.
According to Bloomberg, Samsung also benefitted from the one-time gain of compensation from Apple for its fewer-than-promised smartphone display orders, which some analysts estimated to be 1 trillion Korean won.
This announcement did not include the company’s net income, ROE, break-out performance by division. The company is set to make its Q2 2020 guidance later today and the full Q2 2020 earnings conference call is scheduled to take place 30th July 2020.