Samsung Electronics released second quarter results showing 20% revenue growth and 54% year-on-year operating profit despite its mobile division being hit due to a shortage of components. The company made operating profit of 12.57 trillion won (~ $ 10.97 billion) on 63.67 trillion won (~ $ 55.56 billion) in revenue.
Samsung says its mobile business has suffered from industry-wide component shortages as well as “production disruptions” at its Vietnamese factories, some of which were closed after a COVID outbreak. Combined with low seasonality resulting in lower demand, revenue was down from the previous quarter, although still growing year over year.
The semiconductor industry continues to be Samsung’s main financial driver, contributing more than a third of the company’s revenue and more than half of its profits for the quarter. Samsung says memory demand and price increases were higher than expected, although mobile memory sales were affected by the same issues seen by the smartphone division.
Looking forward to the rest of the year, Samsung says it will “consolidate its leadership in the premium segment [smartphone] segment by integrating the foldable category ”, while the display division confirmed that it was working on the technology of under-screen cameras. Samsung has an event scheduled for August 11 where it is announced that it will announce new phones in the Galaxy Z Fold and Z Flip ranges.