Samsung SDS Announces the Third-Quarter 2020 Financial Results
+ Records highest quarterly revenue based on the expansion of strategic IT business and logistics BPO
+ QoQ increase of 15.6% in revenue and 11.8% in operating profit
+ Growth derived from cloud migration, digital innovation in corporate management systems, smart factory establishment, work collaboration and automation solution businesses
Samsung SDS recorded highest ever quarterly revenue thanks to the expansion of its IT strategic and logistics BPO businesses and its solid external business growth.
On October 27, Samsung SDS announced that it recorded revenue of KRW 2.9682 trillion and operating profit of KRW 219.8 billion in the third quarter of 2020.
Revenue and operating profit increased by 15.6% and 11.8%, respectively, compared to the previous quarter. Compared to the previous year, both revenue and operating profit increased 11.7% and 6.4%.
IT services business recorded revenue of KRW 1.3347 trillion, which is an increase of 1.1% compared to the previous quarter. The business performance started to recover as investments that were delayed due to COVID-19 resumed.
Revenue growth was driven by expansion centered on strategic IT businesses including cloud migration in manufacturing and finance industries, digital innovation of corporate management systems such as ERP and MES, smart factory establishment, and implementation of contactless work environment based on work automation and collaboration solutions.
Logistics Business Process Outsourcing (BPO) recorded revenue of KRW 1.6335 trillion, which is 31% QoQ increase derived from external business growth and increased volume of goods such as TVs and home appliances.
Meanwhile, Samsung SDS is expected to accelerate its digital transformation and investment in the fourth quarter in preparation for post COVID-19.
Among IT services, Samsung SDS plans to strengthen businesses related to customers’ digital transformation such as high-performance cloud conversion for AI research and development, manufacturing intelligence and data analytics.
In logistics sector, the company will expand its business focusing on high-tech, parts, and e-Commerce industries while actively promoting new businesses including blockchain-based supply chain traceability services.