What They Say
Samsung published its fourth quarter and FY 2021 result and saw record sales and profits for the quarter ($63.6 billion/$11.5 billion) and year ($232 billion/$42.8 billion). Samsung Electronics Announces Fourth Quarter and FY 2021 Results
Q4 was mainly good for product sales in smartphones, TVs and home appliances. Memory was down, but foundry business was up.
The Display Panel Business saw earnings continue to improve for mobile panels, while losses in large panels widened due to price declines in LCDs and costs related to QD displays.
In the Display Panel Business, mobile displays is expected to deliver improved results year-on-year, driven by new smartphone releases and an expansion of the foldable display customer base. In large panels, losses are likely to be partially mitigated with the mass production of QD displays.
The MX Business is expected to deliver revenue and profit growth despite supply constraints, led by new flagship model releases and higher sales of mass market 5G smartphones as well as tablets and wearables.
The Visual Display and Digital Appliances businesses will seek to improve profitability by focusing on sales of premium products and expansion of new-category products and the portion of online sales. The overall TV market grew quarter-on-quarter due to year-end seasonality, but decreased year-on-year due to fading effects of pent-up demand. The Visual Display Business saw strong sales of its premium and lifestyle products, but recorded slightly lower operating profit quarter-on-quarter due to rising costs, including for logistics.
What We Think
Samsung has continued to amaze me in its ability to keep growing and to stay hungry. (BR)
