As the scourge of coronavirus affects the revenue of businesses, Samsung electronics appears to be relatively unaffected.
In their latest guidance released today, samsung electronics announced its revenue for the first quarter of 2020.
The report which includes the consolidated sales and consolidated operating profit was marked at approximately 55 trillion Korean won ($44.9 Billion) and approximately 6.4 trillion Korean won ($5.23 Billion) respectively.
Samsung shares rose to 1.03% as of 11:27 a.m. HK/SIN time today. The tech-giant is one of the first major tech companies to report earning estimates for the January-March quarter while in the coronavirus pandemic.
Daiwa Securities’ executive director, SK Kim explained on CNBC’s Squawk Box that coronavirus outbreak has forced people to work from home, hence, making their purchases online. This led to a demand for memory chips from data centres that support internet services.
“This will continue to drive memory price high in the second quarter, which will offset weakness on the mobile as well as the TV (business),” he said
However, Samsung electronics would be affected by the closure of retail stores as well as supply chain disruption. This may not reflect in the company’s report yet, but much will be revealed pending on the prolongation of the Coronavirus pandemic.
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