Skip to content

Samsung, like Apple, feels sting of slowing global growth

NEW YORK — Samsung expects its quarterly operating profit will be nearly 29 per cent lower than last year, potentially unsettling a tech sector already skittish about slowing global economic growth.
15053101_web1_190108-RDA-Samsung-like-Apple-feels-sting-of-slowing-global-growth_1
Samsung says its smartphones are facing stronger competition. (Photo by THE ASSOCIATED PRESS)

NEW YORK — Samsung expects its quarterly operating profit will be nearly 29 per cent lower than last year, potentially unsettling a tech sector already skittish about slowing global economic growth.

The announcement from the South Korean computer chip and smartphone giant comes less than a week after Apple Inc. jolted markets with its weak expectations for revenue to end the year, citing flagging sales in China.

Samsung said late Monday that it anticipates a quarterly operating profit of about 10.8 trillion won ($9.6 billion).

Fourth-quarter sales are expected to be approximately 59 trillion won ($52.4 billion), down 10.6 per cent from the prior-year period.

Samsung says there’s weak global demand for chips amid a worldwide economic slowdown, while its smartphones are facing stronger competition.

By The Associated Press