Samsung has released its Q1 2020 financial results, and while itâ€™s affected by the pandemic, its mobile unit still managed to report relatively healthy profits. Furthermore, the company also used the financial report to reveal a rough launch window for its next foldable and Note devices.
The firmâ€™s IT and mobile division saw a 4% year-on-year drop in sales, from 27.2 trillion won (~$22.3 billion) in Q1 2019 to 26 trillion won (~$21.3 billion) in Q1 2020. Samsung also blamed COVID-19 near the end of Q1 for mobile shipments dropping quarter-on-quarter.
However, the unitâ€™s profits saw slight year-on-year growth, going from 2.27 trillion won (~$1.8 billion) in Q1 2019 to 2.65 trillion won (~$2.1 billion) in Q1 2020. Samsung says an â€œimproved product mixâ€� was the reason for the steady profits, pointing to flagship launches such as the Galaxy Z Flip and Galaxy S20 series. But the current global situation does make you wonder what couldâ€™ve been, especially with arch-rival Huawei under a US trade ban.
What to expect later in 2020?
Samsung is expecting an â€œinevitableâ€� drop in Q2 2020 though, owing to a shrinking smartphone market and store closures due to the coronavirus. But the firm says itâ€™s also focused on more flexible and diverse manufacturing capabilities and improving online channels in a bid to soften the blow.
Looking to the second half of the year, Samsung revealed that itâ€™ll offer new premium devices, specifically pointing to â€œnew foldable and Note model launches.â€� This isnâ€™t a surprise given that the Galaxy Fold and Note 10 series launched in the second half of 2019, but we now have official confirmation of a launch window for their successors.
The Korean manufacturer says itâ€™ll also bring 5G to â€œmass marketâ€� devices. So you might want to wait until the second half of 2020 if youâ€™re thinking about hopping aboard the 5G train â€” or if you want a new premium Samsung device.
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