Samsung could be in line for another down financial report after two consecutive quarters of profits falling below estimates.
Samsung’s CFO Lee Sang-hoon told reporters that the company’s second quarter earnings don’t “look too good,” according to the Wall Street Journal.
In April, Samsung projected a first-quarter operating profit of $7.98 billion, coming in under the $8.07 billion analysts expected the company to pull in. Samsung is scheduled to reveal its second quarter earnings in early July.
Last week, Jeffries analyst Hyunwoo Doh said Samsung may miss on operating profit predictions for the second quarter due to an inventory correction coming as the company tries to clear out low-cost smartphones. He predicted as much as a 22.5 percent quarterly drop in profit for Samsung’s IT and Mobile Communications division.
Last year, Samsung warned that new products and increased price competition would negatively affect smartphone/tablet demand during the first quarter of 2014.
But in May, Samsung Mobile Business Head JK Shin said the Samsung Galaxy S5 had already sold 11 million units, a 10 percent increase over the Galaxy S4’s 10 million sold in the same amount of time in 2013.