Samsung second-quarter profit dips on slower demand for Galaxy smartphones

Samsung's mobile woes drag on profit growth

On the other hand, Samsung's handset business reported a big fall in quarterly profit from a year ago.

The price has also apparently been set for the rumored 512GB model. The tablet comes with Samsung DeX built in so you can use it in a Windows style desktop way, event with a Bluetooth mouse.

In Samsung's just released Q2 report, the South Korean electronics conglomerate missed the mark on Galaxy S9 sales targets.

Samsung says it considers the Tab A 10.5 to be "fit for the whole family" - it's a passable workhorse for adults and a good entertainment device for the kids. Its bendable screen technology recently passed key USA safety testing, a crucial step in coming to market.

While the NAND cycle has reversed, with the market veering towards oversupply, Samsung indicated that it was seeing higher memory content for devices (8TB server SSDs and 128GB mobile storage modules). "But if you're in the market for a cheaper mid-range tablet, Samsung also has good news for you today, as the company has announced the Galaxy Tab A 10.5". In the company's lengthy earnings statement, it writes: "In response, Samsung will seek to expand sales by introducing a new Galaxy Note earlier than usual".

It remains to be seen whether Samsung's difficulties in the mobile business, which accounts for about 40 percent of its revenue, are the result of its own failings or reflect the industry slowdown more broadly. "Therefore, chip prices are expected to remain strong", a Samsung official told AFP on condition of anonymity.

Slower sales don't necessarily mean slow sales, though.

Net income attributable to the shareholders of the parent company for the second quarter of 2018 rose 1.68 percent to 10.98 trillion Korean won from 10.80 trillion won past year.

While total sales fell 4.1% year-on-year to 58.48 trillion won, the company's mobile division was particularly hard hit, with revenues plunging 22% in the same period.

Disappointment over the latest figures was reflected in Tuesday's trade, with Samsung Electronics shares closing down 0.5% at 46,250 won. While Samsung's revenue declined by 4% to 58.5 trillion ($52 billion), its net profit remained nearly flat at 11.04 trillion won ($10 billion). But that means Samsung relies on computer chips for an alarming 78 percent of its operating profit.



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