The ongoing global recession has forced people to rein in their living expenses. Therefore, the sale of electronics products has decreased. As a result, the South Korean technology giant Samsung is under pressure. The company posted the lowest profit in the last eight years as of the last three months of last year. News BBC and Reuters.
It is said in the news that due to the ongoing global recession, common people have reduced the purchase of goods except for essentials which is affecting the sale of electronic products. As the demand is low, the price of chips used in making electronic products has also come down. So reining in this consumer spending has hit the tech giant’s business hard in recent months.
One of which is Samsung, the world’s largest manufacturer of memory chips, smartphones and TVs. The company has predicted record losses in the last three months of 2022 (October-December). During this period their profits will decrease by 69 percent which is the lowest in the last 8 years.
In the forecast, Samsung said its operating profit will fall by about 4.3 trillion Chinese Yuan in the last three months of the outgoing year which is 3.4 billion US dollars.
This is Samsung’s lowest quarterly profit since 2014. While the company’s investors were expecting a profit of about 5.9 trillion Chinese Yuan at that time.