Samsung Electronics' Q2 earnings report beats expectations

삼성전자 2분기 영업이익 8조1천억원…'어닝서프라이즈'

Samsung Electronics beat its quarterly earnings forecast for the second quarter.
However, the South Korean tech giant's report card for the period was mixed.
Operating profit was up on-year, but sales headed south.
Kim Jae-hee reports.
Samsung Electronics' earnings in the second quarter beat expectations,... thanks to solid demand for semiconductor chips as the COVID-19 pandemic encouraged more of a non-contact lifestyle.
The tech giant said Tuesday that its operating profit for the April to June period was an estimated six-point-eight billion U.S. dollars.
That's a 22-point-seven-three percent increase from the same period last year when it was roughly five-and-a-half billion dollars.
Samsung's operating profit also rose 25-point-five-eight percent compared to the previous quarter.
But COVID-19-induced shutdowns dragged down Samsung's overall sales.
They fell 7-point-three-six percent on-year to an estimated 43-point-6 billion dollars.
Compared to the previous quarter, sales were down more than 6 percent.
Samsung's better-than-expected semiconductor business appears to be behind the company's overall performance in the second quarter.
Demand for semiconductors remained solid with more people working from home, and students taking online classes.
Even Samsung's sluggish mobile and consumer electronics businesses beat forecasts, with watchers saying they could be on the road to recovery.
More details will be out when Samsung releases its finalized figures later this month.
Despite the surprise earnings in the second quarter, market watchers say that, with the prolonged COVID-19 pandemic, and the increasingly bitter U.S.-China relationship, it's difficult to be sure the semiconductor industry will remain as upbeat for the remaining two quarters.
Kim Jae-hee, Arirang News.