Samsung Electronics' profits fall by more than two-thirds in the last quarter of 2022

In a statement, Samsung said its fourth-quarter earnings were “well below current market expectations.”

REUTERS - Kim Hong-Ji

Text by: RFI Follow

1 min

The South Korean group, leader in the world market for

and televisions, claims to have reached its lowest level in eight years.

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From October to December, the South Korean company barely reached 3.230 million euros in profit, a drop of 69% compared to the same period a year earlier.

This is the smallest profit the group has achieved since 2014. 

Samsung sold fewer

and other electronic devices.

Fewer semiconductors were also supplied to Apple, a major customer and nevertheless a competitor of the South Korean group. 

Yet until the second quarter of 2022,

maker Galaxy, like other companies in the tech sector, has largely benefited from strong demand for electronic devices, and the chips that power them. during the pandemic.

Inflation and fall in demand

In a statement, Samsung said its fourth-quarter earnings were "

", attributing the performance to macroeconomic problems, compounded by central bank interest rates kept high around the world.

Weak demand for memory chips was "

'.

But since then, the world economy has been confronted with numerous tensions: galloping inflation, rising interest rates and a stronger than expected fall in demand, have got the better of these good results from the South Korean juggernaut, whose figure business accounts for one-fifth of South Korea's GDP. 

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