Samsung SDS Announces 2023 Financial Results

+ Achieved annual revenue of 1.8807 trillion won in the cloud business, growing 61.8% over the previous year
+ Digital logistics platform Cello Square records 152% growth in sales compared to the same period last year... Subscriber customers exceed 11,100
+ Fourth quarter revenue amounted to KRW 3.3771 trillion, operating profit KRW 2,145 billion

Samsung SDS announced its preliminary earnings for 2023, which showed revenue of KRW 13.2768 trillion and operating profit of KRW 808.2 billion. Revenue decreased by 23% compared to the previous year, while operating profit declined by 11.8%.

In the fourth quarter of 2023, revenue recorded at KRW 3.3771 trillion and operating profit was KRW 214.5 billion. Although fourth-quarter sales decreased by 20.5% compared to the same period last year, operating profits increased by 14.4%.

By business sector, annual sales of IT services reached KRW 6.1058 trillion, growing 2.3% year-on-year thanks to the conversion/expansion of cloud projects in manufacturing, finance, and public sectors, and the construction of next-generation ERP and MES systems.

Particularly, in the cloud business, both the CSP business based on the Samsung Cloud Platform (SCP) and the MSP business centered on application modernization grew evenly, achieving annual sales of KRW 1.8807 trillion, an increase of 61.8% compared to the previous year.

However, due to the continued global economic downturn, logistics business revenue marked KRW 7.171 trillion, down 36.4% compared to the previous year.

However, Cello Square, a digital fowarding platform, evolved into an important pillar of intelligent supply chain management beyond simple logistics execution, recording sales of KRW 241 billion in the fourth quarter, up 152% compared to the same period of the previous year. The number of subscribers to the Cello Square platform also surpassed 11,100 companies, spreading globally in China, Southeast Asia, the United States, and Europe.

Samsung SDS plans to launch a platform called 'FabriX' that accelerates the integration of Generative AI into cloud systems, and a solution called 'Brity Copilot' that automates intellectual work.

Recently, at CES 2024, the world's largest Information Technology (IT) and Electronics Exhibition held in Las Vegas, USA, the company unveiled the actual live demonstrations of FabriX and Brity Copilot, Samsung SDS's Generative AI Services, under the theme of 'Hyperautomation Innovation for Companies Through Generative AI Services'.

Meanwhile, Samsung SDS decided on a dividend plan per share of KRW 2,700 through a board resolution. This is in line with the dividend policy of maintaining a three-year dividend payout ratio of 30% from 2022 to 2024.