Samsung faced some serious turbulence in 2017 with its acting chairman Lee Jae-yong being sent to jail for five years for bribery and perjury, and its CEO of electronics division Kwon Oh-hyun announcing his resignation from his post.
But this didn’t stop Samsung from achieving a magnificent profit of $50 billion greatly exceeding what it did in 2016 which was $27 billion.
Chips and display devices major contributors
A large chunk of its revenue comes from the sales of its chips, which was close to $69 billion in 2017, and also from its display division thanks to Apple‘s growing requirements. Though Samsung couldn’t do much to improve its mobile business, it’s Galaxy Note 8 sales went higher compared to 2016 given the fiasco it was in after some of its Note 7 devices were reported to be overheating and even exploding in certain cases.
The worldwide recall of the devices, the largest recall ever in consumer electronics, no doubt had affected Samsung in a big way.
Samsung did suffer some losses over the last 18 months but it recovered from it with good sales in Q4. The huge losses as a result of the major recall of its Note 7 would have given a major setback to the Korean giant, but it prioritized and did what was right for the brand to do, i.e. take care of its customers and make sure they stay with them.
On Tuesday, Samsung announced its Q4 financial results, a $14 billion profit which was significantly higher than the profits in the corresponding quarter in 2016 of $8.6 billion. Samsung is expecting the demand for smartphones to shoot up due to increased replacement demands for the same. Its major goal for this year is going to be bettering its camera phones which it seems to have already brought into action with its upcoming Galaxy S9.