"Samsung's Q4 2022 Financial Results Affected by Decreasing Sales of Smartphones and Memory Chips"

Samsung Electronics has released its earnings guidance report for Q4 2022, and the preliminary numbers are not favorable. The company reported an estimated consolidated operating profit of KRW 4.3 trillion ($3.38 billion) for the October-December period, representing a 69% drop compared to Q4 2021. This would be Samsung's lowest quarterly profit since Q3 2014.

Quarterly revenue is also expected to decrease by 9% to KRW 70 trillion ($55 billion). The main factors behind the company's negative financial performance are decreased demand for smartphones and memory chips. Analysts predict that these trends will continue to impact Samsung's profits in the upcoming Q1 2023 period.

According to data from Statista, Samsung's global market share in the smartphone industry decreased from 22.7% in Q3 2021 to 20.8% in Q4 2022. In the memory chip market, Samsung's market share fell from 38.5% in Q3 2021 to 36.7% in Q4 2022, according to data from TrendForce.

Despite the negative financial results, Samsung remains a leading player in the tech industry. In the smartphone market, the company is ranked second behind Huawei, and in the memory chip market, it is the top manufacturer. However, the company will need to address the declining demand for its products in order to maintain its position.

Source:

    Statista, "Market share of leading smartphone vendors worldwide from 4th quarter 2021 to 4th quarter 2022" (https://www.statista.com/statistics/263401/global-market-share-held-by-smartphone-vendors/)

    TrendForce, "DRAMeXchange: Samsung's DRAM Market Share Falls to 36.7% in 4Q2022" 

(https://www.trendforce.com/pressrelease/268-dramexchange-samsung-s-dram-market-share-falls-to-36-7-in-4q2022)