The South Korean global firm Samsung just released its 2020 fourth-quarter financial figures. 55.2 billion US dollars in total revenues were recorded by the corporation, an 8.2% YOY rise. Moreover, the business reported an operating income of $7.2 billion US, an increase of 7.5% year over year.
Strong sales of the company’s core items, such as smartphones and consumer electronics, were cited as the reason for the increase in revenues. The fourth quarter saw particularly high sales for the Galaxy S and Galaxy Note series as well as its foldable devices.Â
The demand for the company’s home appliances, such as air conditioners and washing machines, also aided in the expansion of the business.
The company’s semiconductor business, on the other hand, was not as strong as it had been in the prior quarters. This was principally brought on by the pandemic’s impact on data centers and cloud providers’ decreased demand for memory chips. The company’s semiconductor division nonetheless reported a 3.4% YOY growth in sales.
Along with semiconductors, the company’s mobile division also experienced a fall in sales. This was brought on by both the escalating rivalry in the smartphone market and the drop in demand brought on by the epidemic. As a result, sales for the company’s mobile division fell by 12.5% YoY.
Overall, the company’s fourth-quarter performance was better than predicted. Despite the pandemic’s adverse economic effects, the company was nonetheless able to report a strong 8.2% YOY increase in revenues.Â
The company’s iconic products, as well as its home appliance and semiconductor divisions, were the main drivers of this expansion. Despite a fall in sales for the company’s mobile division, the corporation is still confident that things will improve in 2021.Â
The business is sure that it will be able to take advantage of the rising demand for smartphones with the release of its new flagship handsets, such as the Galaxy S21.
Here’s a table of data for Samsung’s Q4 2021 financial results:
| Metric | Value |
|---|---|
| Revenue | KRW 55.2 trillion |
| Operating profit | KRW 12.6 trillion |
| Net profit | KRW 10.9 trillion |
| Earnings per share | KRW 1,796.38 |
| Dividend per share | KRW 354.00 |
| Operating margin | 22.9% |
Note: KRW stands for South Korean won. As of March 2023, 1 KRW is roughly equal to 0.00083 USD.
Conclusion:
Thus, Samsung’s 2020 fourth-quarter financial results were better than anticipated. The business reported an operating income of 7.2 billion US dollars, up 7.5% year over year (YOY), and total revenues of $55.2 billion, up 8.2% YOY.Â
Strong sales of the company’s flagship goods as well as its home appliance and semiconductor divisions were credited by the company for the increase in revenues.Â
Despite a fall in sales for the company’s mobile division, the corporation is still confident that things will improve in 2021. In the end, Samsung’s fourth quarter results show the business’ resiliency in the face of the pandemic’s unclear economic impact.
