Samsung SDS Announces First-Quarter 2024 Financial Results

+ Achieved a revenue of KRW 530.8 billion in the cloud business, growing 29% YOY
+ Digital logistics platform Cello Square shows a 381% growth in revenue YOY, with the number of subscribers surpassing 12,200

Samsung SDS unveiled its preliminary financial results for the first quarter of 2024, posting a revenue of KRW 3.2473 trillion and an operating profit of KRW 225.9 billion. Compared to the same period last year, its revenue fell by 4.5% but operating profit rose by 16.2%.

Revenue from the IT service business recorded KRW 1.5536 trillion, up 5.7% YOY.

Revenue from the cloud business amounted to KRW 530.8 billion, achieving a 29% YOY growth.

Among the cloud businesses, the Samsung Cloud Platform (SCP) based cloud service provider (CSP) business grew 44% from the same period last year, driven by an increase in high-performance computing (HPC) services and the offering of GPUaaS.

Additionally, the managed service provider (MSP) business achieved a 23% YOY growth thanks to increased revenue from cloud migration and implementation projects in the public and financial sectors, as well as the cloud-based next-generation supply chain management (SCM) business, etc.

The logistics business witnessed a 12% YOY revenue decline to KRW 1.6937 trillion due to decreasing global freight rates and volume.

Revenue of the digital logistics platform Cello Square, which has evolved into a major pillar in intelligent SCM, was KRW 255 billion, achieving a 381% YOY growth.

The number of subscribers to Cello Square surpassed 12,200 companies, driven by the global expansion of the platform.

In addition, Samsung SDS plans to aggressively develop the generative AI service business for enterprise customers through the generative AI service platform FabriX, a business hyperautomation accelerator; and via Brity Copilot, a solution deploying generative AI for intellectual tasks that are conducted in common business processes such as email, messaging, video conferencing.

※ First-Quarter 2024 Results
2024 1Q Revenue, Operating Profit, Columns are Year 2023 4Q, QoQ, 2023 1Q, YoY
2024 1Q 2023 4Q QoQ 2023 1Q YoY
Revenue 3,247.3 3,377.1 -3.80% 3,400.9 -4.50%
Operating Profit 225.9 214.5 +5.30% 194.3 +16.2%

(Unit: KRW in billion)