Samsung posted a historic drop in operating profit in the first quarter of this year amid continued sluggish global chip demand.
The company said on Thursday its operating profit plummeted 95.5 percent on-year to W640.2 billion while its sales dropped 18.1 percent to W63.75 trillion (US$1=W1,338).
It was the first time that the operating profit has dropped below W1 trillion since the global financial crisis in 2008.
Samsung's memory chip business took a particularly hard hit as global chip prices have been falling amid decreasing demand and swelling inventories. The chip sector recorded an operating loss of W4.58 trillion, also the first time since the global crisis, while its sales amounted to W13.73 trillion, down nearly 50 percent on-year.
The company predicts demand will remain sluggish in the second quarter before gradually rising in the third quarter, with its performance expected to recover in the period.