Samsung SDS, the information technology services and logistics solutions arm of South Korea’s Samsung Group, said Monday that its first-quarter operating profit rose 24 percent on-year to 181.8 billion won ($170.4 million), on the back of a strong performance by its cloud and smart factory businesses.
Revenue during the January-March period grew 9.5 percent on-year to 2.36 trillion won while net profit jumped 45.2 percent to 131.6 billion won, the company said in its earnings guidance report.
By business, Samsung SDS’ IT services business portion brought 1.35 trillion won in revenue, up 10.2 percent on-year, led by robust sales generated by its cloud and smart factory solutions business.
Meanwhile, the company’s logistics solutions raised revenues of 1.11 trillion won, up 9 percent on-year, as it expanded the amount of cargo handled as well as signed in more external business clients.
Samsung SDS cited the steady growth in its first-quarter revenue to the success of its “strategic businesses,” including cloud, smart factory, artificial intelligence and blockchain-based services.
Revenue from its cloud business expanded by 130 percent in the first quarter, while revenue from its smart factory solutions also rose 30 percent during the first quarter, the company said.
First-quarter revenue from artificial intelligence and analytics solutions each grew by 40 percent, while new IT services based on blockchain services have begun to take off, the company said.
By Sohn Ji-young (firstname.lastname@example.org