ID :
201513
Tue, 08/16/2011 - 04:46
Auther :
Shortlink :
https://oananews.org//node/201513
The shortlink copeid
Corporate Q3 earnings forecast to miss earlier estimate
SEOUL, Aug. 16 (Yonhap) -- South Korea's major companies are expected to register weaker-than-expected earnings in the third quarter amid growing concerns over a global economic slowdown, data showed Tuesday.
The combined operating profit of 83 listed companies, whose third-quarter earnings forecasts have been tallied, is expected to reach 27.7 trillion won (US$25.6 billion) in the July-September period, down 2 percent from a 28.3 trillion won projection made last month, according to the data by FNGuide Inc.
The downward revision comes amid worries a slowing global economy will hamper demand for tech and petroleum products.
"The information technology (IT) sector has recently been facing a sharp fall in demand. A further downward revision is likely," said Kim Seong-in, an analyst at Kiwoom Securities Co.
The recent plunge of dynamic random access memory (DRAM) chip prices is also expected to hurt the IT sector's profit.
"A gradual decline in chipmakers' profits is expected in the second half. The fall in DRAM chip prices is likely to be steeper than expected," James Song, an analyst at Daewoo Securities Co., said in a report. Song added DRAM chip prices are likely to make a turnaround around the end of the year or sometime in the next.
Biggest-cap Samsung Electronics Co. is expected to post an operating profit of 3.84 trillion won in the July-September period, down 7.9 percent from the previous estimate.
Oil refiners are also expected to see their profits fall in the third quarter if oil prices slump amid a slowing global economy.
In contrast, financial shares are expected to see stronger-than-expected profits, helped by a decline in loan-loss provisions, the data showed.
The top four banking groups -- KB Financial Group Inc., Woori Finance Holdings Co., Shinhan Financial Group Co. and Hana Financial Group Inc. -- are expected to rake in a net profit of 9.8 trillion won this year, according to a forecast made by Daishin Securities Co.
The combined operating profit of 83 listed companies, whose third-quarter earnings forecasts have been tallied, is expected to reach 27.7 trillion won (US$25.6 billion) in the July-September period, down 2 percent from a 28.3 trillion won projection made last month, according to the data by FNGuide Inc.
The downward revision comes amid worries a slowing global economy will hamper demand for tech and petroleum products.
"The information technology (IT) sector has recently been facing a sharp fall in demand. A further downward revision is likely," said Kim Seong-in, an analyst at Kiwoom Securities Co.
The recent plunge of dynamic random access memory (DRAM) chip prices is also expected to hurt the IT sector's profit.
"A gradual decline in chipmakers' profits is expected in the second half. The fall in DRAM chip prices is likely to be steeper than expected," James Song, an analyst at Daewoo Securities Co., said in a report. Song added DRAM chip prices are likely to make a turnaround around the end of the year or sometime in the next.
Biggest-cap Samsung Electronics Co. is expected to post an operating profit of 3.84 trillion won in the July-September period, down 7.9 percent from the previous estimate.
Oil refiners are also expected to see their profits fall in the third quarter if oil prices slump amid a slowing global economy.
In contrast, financial shares are expected to see stronger-than-expected profits, helped by a decline in loan-loss provisions, the data showed.
The top four banking groups -- KB Financial Group Inc., Woori Finance Holdings Co., Shinhan Financial Group Co. and Hana Financial Group Inc. -- are expected to rake in a net profit of 9.8 trillion won this year, according to a forecast made by Daishin Securities Co.
