The company spent 8 trillion won (7.2 billion US dollars) in capital expenditure in the second quarter, including 6.1 trillion won (5.5 billion USA dollars) for the chip business and 1.1 trillion won (984 million US dollars) for the display panel division.
On the display side Samsung said earnings were weak due to decline in sales volumes, but OLED flexible panels are expected to increase sales.
And Reuters pointed out that Samsung also posted its slowest quarterly profit growth in more than a year, as cheaper Chinese-made handsets put pressure on margins. Samsung globally is also facing competition on its less expensive phones from Chinese smartphone makers such as Huawei and Xiaomi.
In South Korea noticed a poster on which the date of start of sales of the new flagship of Samsung. Demand for DRAM is being driven by higher memory content in devices such as smartphones and a higher uptake from the server market.
Overall earnings were sharply down from the 11.69 trillion won net profit registered last quarter, when the company reported a 52% jump on year.
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To cope with the situation, Samsung Electronics said it will soon release a new Note smartphone at a "reasonable price", and apply top-notch features on budget models.
Reuters claimed that it was all because the Galaxy S9 device missed sales targets and Samsung had lost its leadership of the smartphone market. Previously we have seen Samsung Galaxy Note 8, S9, S9+ phones come with Samsung DeX support.
A rise in costs for marketing new models also dealt a blow, the company said.
Following a successful restructuring of its product line-up, Samsung led expansion of the premium TV market, winning more than 50 per cent market share in the ultra-large screen segment of 75-inches and above.
Samsung IT and communication has gone down 200% in the last quarter. Its phone business reported 2.67 trillion won in operating income during the three-month period, compared with 4.06 trillion won a year earlier.
For the first half of 2018, Samsung invested 13.3 trillion won in chips and 1.9 trillion won in displays, rolling out a combined 16.6 trillion won in facilities investment. The second-quarter report was announced before the stock market's opening Tuesday.