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Samsung warns of coronavirus impact on sales

Samsung has warned the coronavirus will "significantly" damage the company's operations in the coming months.

While the firm's memory chip business is healthy due to a "robust" demand for servers and PCs with more people working from home, it's thought that "overall earnings are likely to decline".

In a press release, the tech giant said: "Looking ahead to the second quarter, the Company expects the memory business to remain solid, but overall earnings are likely to decline from the previous quarter because COVID-19 will significantly impact demand for several of its core products.

"For the component business, memory demand is expected to remain robust for servers and PCs as more people work from home, but it is possible the mobile market may soften. Earnings from OLED screens are likely to be weaker due to a stagnant smartphone market.

"Sales and profits of set products business, including smartphones and TVs, are expected to decline significantly as COVID-19 affects demand and leads to store and plant closures globally.

"To address this, the Company will leverage its global production flexibility and supply networks as well as strengthening its online sales capabilities."

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