According to foreign media reports, Samsung's earnings report for the third quarter of 2019 showed that the financial situation of the technology giant has not improved significantly in the past few months. Samsung expects that by the end of September, profits will fall again. Samsung is expected to announce an operating profit of approximately 7.7 trillion won (US$6.44 billion), which is higher than the profit of 6.6 trillion won (US$5.5 billion) in the second quarter, but it is down 56% from the same period in 2018. At that time, the company’s profit was 17.57 trillion won (US$14.7 billion).

Samsung (Picture Source Network)
Samsung (Picture Source Network)

   Samsung will disclose more details about the company's status when it releases a complete earnings report. As CNBC pointed out, if Samsung’s forecast is correct, then this will be the third consecutive quarter of its operating profit halved compared to the same period last year. Samsung also issued a warning before releasing its earnings forecast for the first quarter of 2019, so that its investors are psychologically prepared to lose money.

   The "darkest moment" of Samsung's chip business is obviously not over. The plunge in chip prices and the slowdown in chip demand continue to plague Samsung. Samsung's chip business has been its biggest cash cow for some time, so the lack of global demand for memory chips is hurting the company's financial situation. However, CLSA senior analyst Sanjeev Rana said that the industry situation is improving, and Samsung’s memory shipments in the third quarter were actually better than expected.