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In Q1 2025, Samsung Electronics posted an operating profit of KRW 6.7 trillion (~$4.4 billion), which was much better than previous quarters and an excellent figure generally speaking. Unfortunately, that might not be the case for Q2 2025.
According to Hankyung, Samsung’s operating profit in the second quarter of 2025 is expected to be KRW 1 trillion (~$0.7 billion) less than that in the first quarter of the year. Standing at KRW 5.7 trillion won (~$4.2 billion), it will be 15% lower than before.
Reasons behind drop in Samsung's profit in Q2 2025
The publication reports that there are three reasons behind the drop in the operating profit. First, drop in the profitability of smartphones, TVs, and home appliances due to the tariffs imposed by the US on foreign products and increased logistics costs. Second, Samsung’s delay in supplying Nvidia with 5th generation 12-layer high bandwidth memory (HBM3E). Third, slump in the semiconductor market.
Reportedly, analysts predicted Samsung’s last quarter’s profit to be much higher, and this result will be shocking for everybody, as it is much below expectations. A few analysts believe that Samsung’s operating profit will drop to the lowest point in Q2 2025 and pick up pace in Q3 2025.
The brand is going to launch the next set of smartphones with foldable displays and smartwatches, which may include the Galaxy Z Fold 7, Galaxy Z Flip 7, Galaxy Z Flip 7 FE, Galaxy Watch 8, and the Galaxy Watch Ultra 2, on 9 July 2025. These devices could increase the company’s profits.
The post Samsung’s profit in Q2 2025 could be much lower than expected appeared first on SamMobile.
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