Samsung Electronics Co. (005930.SE) forecast a 78% drop in third-quarter operating profit from a year earlier, a worse performance than market expectations as its flagship semiconductor business is seen as still struggling to escape the industry downturn.
The South Korean tech giant said in a preliminary earnings forecast that operating profit for the July-September quarter this year was 2.4 trillion won ($1.79 billion), compared with 10.85 trillion won for the same period in 2022.
The company's third-quarter operating profit forecast is below the average market estimate of 2.826 trillion won for the September quarter compiled by FactSet.
Samsung Electronics said it expects third-quarter revenue to fall 13% from a year earlier to 67 trillion won.
Samsung Electronics is scheduled to report full third-quarter results later this month.