Sales of Samsung's 4 major Vietnam plants up in H1, but profits fall

Four Vietnamese subsidiaries of South Korean giant Samsung Electronics reported combined revenues of KRW42,017.3 billion ($31.38 billion) in the first half of 2024, up 8.6% year-on-year, but post-tax profits decreased 2% to KRW2,939.7 billion ($2.2 billion).

According to Samsung's report for the period, Samsung Electronics Vietnam Thai Nguyen (SEVT), headquartered in the eponymous northern province, was the best performer. Its revenue rose 20.47% to KRW18,489 billion ($13.81 billion), while post-tax profit was up 30.17% to KRW1,518.3 billion ($1.13 billion).

SEVT’s revenue was the second-highest among Samsung's subsidiaries globally, behind the U.S.-based Samsung Electronics America, Inc.

Samsung Display Vietnam (SDV), located in the northern province of Bac Ninh, posted post-tax profit of KRW379.72 billion ($283.6 million) on revenue of KRW9,109.7 billion ($6.8 billion), down 33.4% and 10.81% year-on-year, respectively.

Samsung Electronics Vietnam (SEV), also based in Bac Ninh, earned revenue of KRW10,950.3 billion ($8.18 billion) and post-tax profit of KRW927.55 billion ($692.8 million), up 9.13 and 1.9% year-on-year, respectively.

Samsung Electronics HCMC CE Complex (SEHC), located in Ho Chi Minh City, saw its revenue climb 12.03% year-on-year to KRW3,468.3 billion ($2.59 billion), but its post-tax profit fell 67.6% to KRW114.14 billion ($85.3 million).

Globally, Samsung Electronics earned total revenue of $108.18 billion, an increase of 18% year-on-year, while post-tax profit rose 503% to $12.3 billion.

Samsung entered Vietnam in 2008 with a mobile phone factory in the northern province of Bac Ninh and has been expanding its operations in Thai Nguyen, Hanoi and Ho Chi Minh City ever since.

The tech giant operates numerous production sites in Asia, including SEV and SEVT for smartphones, SEHC for TVs, and SDV for display panels.

In August, Deputy Prime Minister Tran Hong Ha urged Samsung to continue its pioneering role in Vietnam’s transition to a digital and green economy, while hosting general director of Samsung Vietnam Choi Joo Ho.

At the meeting, Choi said Samsung Vietnam owns six production facilities and one R&D center with total investment of $22.8 billion. It shipped $33.5 billion worth of products abroad during January-July, up 5% year-on-year.