Samsung's Vietnam subsidiaries reap $4.67 bln profit in 2022

South Korean tech giant Samsung’s four subsidiaries in Vietnam reported after-tax profits of KRW6,055.9 billion ($4.67 billion) in 2022, up 16.28% year-on-year.

The four companies, namely Samsung HCMC CE Complex (SEHC) in Ho Chi Minh City, Samsung Electronics Vietnam (SEV) and Samsung Display Vietnam (SDV) both in Bac Ninh province, and Samsung Electronics Vietnam Thai Nguyen (SEVT) in Thai Nguyen province, recorded revenues of KRW92,031.9 billion ($71.02 billion) last year, up 12.18% year-on-year, according to the group’s latest financial statement.

SEHC in HCMC was the worst performer with an after-tax profit of KRW386.12 billion ($297.95 million) on a revenue of KRW6,253.4 billion ($4.83 billion), down 18.31% and 4.55% year-on-year, respectively.

SEVT in the northern province of Thai Nguyen showed the best performance with a profit after tax of KRW2,721.7 billion ($2.1 billion), up 18.42% year-on-year, and a revenue of KRW36,336.9 billion ($28.04 billion), up 12.9%.

SEV in the northern province of Bac Ninh saw its post-tax profit jump 13.08% to KRW1,646.2 billion ($1.27 billion), while revenue increased 9.66% year-on-year to KRW23,667.6 billion ($18.26 billion).

SDV, also in Bac Ninh, posted a 32.67% increase in after-tax profit year-on-year to KRW1,301.9 billion ($1 billion). Its revenue rose 18.65% to KRW 25,773.9 billion ($19.89 billion).

On a global scale, Samsung Electronics earned a post-tax profit of $43.1 billion last year, up 39.46% year-on-year. Its revenue expanded 8.09% to $234.08 billion.

This means the after-tax profit that Samsung earned in Vietnam accounted for nearly 11% of the giant's global figure.

Samsung Group sees 2023 as a significant milestone in Vietnam as it is the Korean giant’s 15th year of massive investments in the country, said Samsung Vietnam CEO Choi Joo Ho. He noted this year marked an elevation of the importance of Vietnam not only as a manufacturing hub but also as a center for research and development.

Samsung inaugurated its largest Southeast Asia research and development center in Hanoi last December.

In Vietnam, Samsung Electronics is operating smartphone, TV, display panel, and home appliances factories. The country’s Samsung smartphone factories are responsible for producing almost half of the company’s Galaxy smartphones.

To date, Samsung has invested over $18 billion in Vietnam to become the largest single foreign investor here and has plans to add $2 billion.