Samsung to release Q1 revenue report despite COVID-19 hardships

Samsung to release Q1 revenue report despite COVID-19 hardships
According to SamMobile, analysts expect the South Korean giant to announce their first quarterly earnings for 2020 next week.

As we reported earlier, Samsung is one of many smartphone manufacturers who have been seeing a drop in sales due to the coronavirus pandemic. But despite disappointing Galaxy S20 sales, the company's semiconductor business is going well, with semiconductor demand and sales actually increasing, though that may change in the coming months. Samsung's wireless solutions, displays, and home appliances divisions however have likely suffered a decrease in revenue.

South Korean brokerages expect the company to have amassed a revenue of $44.9 billion in the first quarter of 2020, a 5.5% increase from the same quarter of last year. Operating profits are however to drop a suggested 0.09%, to $5 billion.

As SamMobile reports, Hana Financial Investment estimates that in the first quarter of 2020, Samsung would have sold around 62.2 million smartphones, which is a decrease from last year's 71.5 million.

Currently, consumers are not likely to purchase new smartphones as often as they did, due to increasing prices and more affordable, lasting options entering the market. Most significantly however, the coronavirus pandemic is keeping most families at home and without a steady income.

Earlier last week, Samsung Electronics reportedly held a private conference call for its investors, where the aforementioned decline in smartphone demand was discussed. The South Korean giant's Galaxy S20 series sold 40% less than its predecessor, the S10 series, according to industry estimates.

Analysts believe smartphone sales to begin steadily picking up around this summer.

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