Samsung profit misses estimates, falls sharply from previous quarter as costs rise

Samsung Electronics On Friday, on Friday, revenue in the fourth quarter was better than expected, despite its sharply declining profit from the previous three months due to the high search and development expenses in the chips sector.

Here are the results of Samsung in the fourth quarter compared to Lseg Smartestimate, which are weighting towards predictions than analysts who are constantly more accurate:

• profit: 75.8 trillion Korean Won ($ 52.2 billion) for KRW 75.4 trillion
• Operating profit: KRW 6.5 trillion versus krw 6.8 trillion

Revenue increased by about 12 % from last year, while operating profits grew about 130 %, on an annual basis. However, operational profits decreased by approximately 30 %, revenue decreased by more than 4 %, and a quarter on the quarter, amid soft market conditions and an increase in the company’s expenses.

The quarter -quarter revenue won KRW 75 trillion Samsung directives, while operating profit was in line with the company’s expectations.

Samsung is the leading company in the field of memory chips, which is used in devices such as laptops and servers, and is also the second largest player in the world in the smart phone market.

Samsung said that the annual revenue reached the second highest record, “although the fourth quarter revenues and operating profits decreased on a quarter of a quarter of (QOQ) Its statement.

For the whole year, Samsung has reached 300.9 trillion Crowe in revenue and 32.7 trillion crus. In 2023, the company recorded an annual revenue of 258.94 trillion of KRW and a operating sword of 6.57 trillion.

For the current quarter, Samsung said the profits may be limited due to the weakness of its work in semiconductors, but it will continue to grow through smartphones of artificial intelligence and other distinguished devices.

She added: “For the year 2025 as a whole, the company plans to enhance the advantages of technology and the product in artificial intelligence, in meeting the future demand for high -value products and sales growth in the distinct parts.”

Samsung shares fell 2.2 % in South Korea on Friday morning, while SK Hynix shares fell by more than 11 % with the resumption of the South Korean markets to trade after a four -day break. Asian technology specialties have faced pressure from the latest model of Dibsic’s artificial intelligence in China, which threatens to present the US -led ecosystems.

Samsung Electronics Chip has recorded a 2.9 trillion operating profit in the fourth quarter, a decrease of more than 25 % of the three months ending in October, while The numbers came below Sk Hynix.

This was although Samsung’s memory works achieved revenues in the fourth -quarter standard of 30.1 trillion that helped demand advanced memory products used in artificial intelligence applications.

“[O]Samsung said: “The profit of the voltage decreased slightly compared to the previous quarter as a result of the increase in research and development expenses to secure the leadership of future technology, in addition to the costs of the initial classification to secure the production capacity of the advanced contract,” said Samsung.

Samsung and SK Hynix provides DRAM, or dynamic random access products – a type of semiconductor memory needed to process data.

However, SK Hynix Samsung has been left in HBM, or high -frequency range memory, which is a type of drama, where the chips are vertically stacked to save space and reduce energy consumption. HBM products have seen an increase in demand due to their use in high -performance computing applications such as artificial intelligence.

“They have lost a stake in the highly frequent domain domain scope … where Sk Hynix has already jumped before Samsung,” Eric Ross, an analyst at Casture Securities, told CNBC’s “Squawk Box Asia” on Friday.

He pointed out that the American drama industry has also acquired the company.

“Samsung is a kind of wrong pieces in the DRAM market today because it missed the highly frequency scope, and it really needs to catch this,” he said, adding that computers and smartphones are under price pressure.

According to Samsung, its memory works reduce old products to better in line with the demand for the market and increase the percentage of high -value products, such as HBM.

Samsung said: “In 2025, the total demand for the memory market is expected to recover from the second quarter,” warning that its profits are expected to remain weak in the current quarter.