Samsung Electronics' profit appears to have risen to a three-year high

According to analysts, the South Korean company Samsung Electronics recorded the highest operating profit in three years in the first quarter. They are based on the demand for electronics due to the pandemic of the new coronavirus. According to Reuters, an estimated 16 analysts interviewed by Refinitiv achieved an operating profit of Samsung Electronics from January to March of 9.3 trillion won (7 billion euros). If the estimate is confirmed, it will represent a year-on-year increase in the company's operating profit of about 45 percent and at the same time the highest operating profit since the first quarter of 2018. Revenues are expected to increase by 12 percent. Profit should be driven by a sharp increase in demand for smartphones, TVs and home appliances. Interest in these products has been increased by the pandemic of the new coronavirus and the associated restrictions on population movements. Conversely, in the case of the semiconductor division, the company is likely to report a significant decline in operating profit. The results in this division were affected by the freezing weather in Texas, USA, in February, which led to a month-long cessation of production at Samsung's chip plant there. The operating profit of Samsung's TV and home appliance company is forecast to more than double to about 1 trillion won. Despite skyrocketing chip demand around the world, profits for Samsung's semiconductor business are estimated to have dropped by approximately a fifth to 3.6 trillion won. Samsung Electronics is expected to announce preliminary results for the first quarter on Wednesday, April 7.