Semiconductors and Galaxy S22 'Top Contributors'... Samsung Electronics Records Record Q1 Revenue of 77 Trillion Won (Update)

Record High Performance in Traditional Off-Season Draws Attention

Samsung Electronics achieved a record high performance with annual sales exceeding 279 trillion won. On the 7th, Samsung Electronics announced that its preliminary consolidated results for last year showed sales of 279.04 trillion won and an operating profit of 51.57 trillion won. Employees are arriving at Samsung Electronics Seocho Office Building on this day. Photo by Moon Honam munonam@

[Asia Economy Reporter Kim Jin-ho] Samsung Electronics has received a 'record-breaking' performance report for the first quarter of this year, far exceeding market expectations. This is attributed to a faster-than-expected improvement in the semiconductor market and the success of the new flagship smartphone Galaxy S22 series.

Samsung Electronics announced on the 7th that its consolidated sales for the first quarter of this year were tentatively estimated at 77 trillion KRW, with an operating profit of 14.1 trillion KRW. Previously, securities firms had forecast Samsung Electronics' first-quarter sales at 75.1454 trillion KRW and operating profit at 13.1031 trillion KRW.

Sales rose 17.76% compared to the same period last year, marking a record high. Compared to the previous quarter, sales increased by 0.56%. Operating profit also increased by 50.32% year-on-year and rose 1.66% quarter-on-quarter.

Since these are preliminary figures, performance by business segment was not disclosed. However, securities firms expect Samsung Electronics to have recorded sales of over 25 trillion KRW from semiconductors alone in the first quarter. Considering that the first quarter is traditionally an off-season for the electronics industry, this is regarded as a remarkable 'strong performance.' In fact, the market expected the prices of DRAM and NAND flash to fall by 6.2% and 5.1%, respectively, in the first quarter, but the actual situation turned out to be much better than anticipated.

The success of the Galaxy S22 series, launched in the first quarter, despite the 'Game Optimization Service (GOS)' controversy, is also analyzed to have had a significant impact on the performance. According to the industry, the Galaxy S22 is expected to surpass 1 million units sold about two weeks earlier than its predecessor, the Galaxy S21. Considering its release at the end of February, this means it sold more than 23,000 units per day on average.

Meanwhile, the preliminary results are estimated based on the Korean International Financial Reporting Standards (IFRS) and are provided to assist investors while the financial closing has not yet been completed. Samsung Electronics has been providing quarterly earnings forecasts since July 2009, the first among domestic companies.

This content was produced with the assistance of AI translation services.