South Korean tech giant Samsung Electronics’ operating profit dropped by more than 50 percent year on year in the second quarter (Q2), its regulatory filing showed on Thursday, as US curbs on artificial intelligence (AI) chip exports to China hit sales.

Samsung’s revenue hit $53.5B, but profits nosedived 55%, mainly due to a rough quarter for its chip division. Semiconductor profits fell off a cliff — from $4.6B last year to just $287M — thanks to Nvidia delays and tighter U.

Samsung Electronics reported a weaker-than-expected 55.23 percent on-year drop in operating profit for the second quarter this year, the company said in a regulatory filing Thursday.