Samsung Electronics said, it is looking at major deals to drive growth as it faced tough questions from shareholders after its failure to ride an artificial intelligence boom made it one of the worst-performing tech stocks last year.
The South Korean firm has been suffering from weak earnings and sagging share prices in recent quarters after falling behind rivals in advanced memory chips and contract chip manufacturing, which have enjoyed strong demand from AI projects.
Shareholders slammed management for poor stock performance and called for measures to revive stock prices at the meeting.
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Samsung’s co-CEO and head of its semiconductor business pledged to catch up with the high bandwidth memory (HBM) chip race and apologised for the company’s poor stock performance.
“We were late in reading the market trends and we missed out on the early market as a result,” Jun Young-hyun, Samsung co-CEO and head of its semiconductor business, said at the meeting.
Samsung, which has introduced a stock-based performance system to executives last year, is considering expanding the scheme to employees next year, as part of efforts to review its stock prices,
Former co-CEO Han Jong-hee said.
“The stock performance has been disappointing,” a 65-year old shareholder who only gave his family name, Lee, told Reuters ahead of the meeting.
Source: Reuters
