Samsung is the latest firm to release its quarterly earnings report in recent days, with the South Korean company having a less than stellar Q2 2019.
It has been somewhat of a trend for Samsung during past quarterly reports, with the firm citing a slowing down of its flagship phone sales, as well as a slip in demand for semiconductors and memory.
For Q2 2019, it’s much of the same, with operating profit falling 56 percent year-on-year to 6.6 trillion won. As The Verge points out this is the second lowest point for Samsung following the fiasco that was the Galaxy Note 7.
As for revenue for Q2 2019, that too fell by 4 percent, totalling 56.13 trillion won for the quarter.
“The weakness and price declines in the memory chip market persisted as effects of inventory adjustments by major datacenter customers in the previous quarters continued, despite a limited recovery in demand,” explained the firm in a press release.
“The Mobile Business posted stronger shipments on new mass market models but was overall weighed down by slower sales of flagship models and increased marketing expenses. The Network Business posted solid results on the commercialization of 5G service in South Korea,” it added.
Moving forward, as far as the mobile business goes, Samsung appears to be focusing more intently on its mid-range market.
This echoes the sentiments from co-CEO DJ Koh last year, who noted that the mid-range segment is where the firm plans to innovate. Whether that indeed leads to the upturn in sales that Samsung is hoping for remains to be seen, but seeing as how Apple too is suffering in the flagship space, a shift in strategy may prove welcome.