Samsung Display to Review Management

By Raverstead
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Samsung Group’s Future Strategy Office is expected to conduct a managerial review of Samsung Display, which will cover the company’s business plan, strategies and portfolio, to try to establish what can be improved.

In the third quarter, Samsung Display posted an operating profit of KRW60 billion ($55.2 million), down 94% from Q3 a year earlier, which came after the company’s first operating loss of KRW80 billion ($73.6 million) in the first quarter of this year. Samsung Display performance is heavily affected by Samsung Electronics, which last week reported its lowest profit in three years, following a steep decline in earnings from its IT and mobile divisions (Display Monitor Vol 21 No 43).

According to sources in Korea, the managerial review is a regular procedure, though in the past such consultations have led to the reorganisation of Samsung’s business units, including the removal of any executives deemed to be responsible for a company’s poor performance.