Samsung has tasked its own divisions, which design and manufacture smartphones and TVs, with finding ways to make more money. The order came amid the company’s revenue of $48.14 billion and operating income of $483.25 million for the first quarter of 2023, down 18% and 95% year-over-year, respectively.
The company’s operating profit fell $10.18 billion year-over-year, including $10.04 billion from its semiconductor business, which had an operating loss of $3.46 billion. Elec could also continue to deteriorate.
Samsung’s TV business performed sluggishly in the first quarter compared to competitor LG Electronics, and its smartphone business is not expected to grow in the current quarter. With this in mind, a special group of the Business Support Task Force, which reports directly to the Samsung CEO, has tasked the TV and smartphone-related businesses with presenting solutions to increase revenue.
In response to the order, the smartphone division MX Business wants to present new flexible smartphones three weeks earlier than planned. The situation is significantly worse for the TV business, as prices for LCD panels are expected to be higher in the second quarter than in the first. This means that their costs will increase while demand for TVs will remain low.