Samsung Electronics profits grow 42% on strength of smartphone sales
Driven by its profitable smartphone division, Samsung saw its net profit grow 42 percent year over year in the just-concluded March quarter, the company reported on Friday.
Sales for the quarter were up 17 percent to 52.9 trillion won, while net profit grew 42 percent to 7.2 trillion won, or $6.5 billion. Nearly three-quarters of Samsung's profits came from its division responsible for smartphones, tablets, personal computers and cameras, according to The New York Times.
Samsung's success marked the sixth consecutive quarter in which the South Korean electronics maker has seen profit growth. The boost also came before the company is set to launch its next-generation flagship smartphone, the Galaxy S4.
Because Samsung does not break out its smartphone sales, it's impossible to compare exactly how many high-end handsets the company shipped in comparison to Apple's iPhone. But newly released data from IDC estimates that Samsung shipped 70.7 million total smartphones in the first quarter of calendar 2013, giving it control of 32.7 percent of the market.
In comparison, Apple revealed during its own quarterly earnings report this week that it sold 37.4 million iPhones during the March quarter. While iPhone sales were up year over year, Apple saw its profits fall for the first time in a decade, easing 18 percent due to lower margins on the iPhone and iPad when compared to 2012.
Samsung is expected to see a sales boost this quarter with the launch of the Galaxy S4, though the company has seen some apparent production issues that led to delayed debuts at U.S. carriers Sprint and T-Mobile. Apple is not expected to introduce its next-generation iPhone until this fall, about a year after the launch of the iPhone 5.
Sales for the quarter were up 17 percent to 52.9 trillion won, while net profit grew 42 percent to 7.2 trillion won, or $6.5 billion. Nearly three-quarters of Samsung's profits came from its division responsible for smartphones, tablets, personal computers and cameras, according to The New York Times.
Samsung's success marked the sixth consecutive quarter in which the South Korean electronics maker has seen profit growth. The boost also came before the company is set to launch its next-generation flagship smartphone, the Galaxy S4.
Because Samsung does not break out its smartphone sales, it's impossible to compare exactly how many high-end handsets the company shipped in comparison to Apple's iPhone. But newly released data from IDC estimates that Samsung shipped 70.7 million total smartphones in the first quarter of calendar 2013, giving it control of 32.7 percent of the market.
In comparison, Apple revealed during its own quarterly earnings report this week that it sold 37.4 million iPhones during the March quarter. While iPhone sales were up year over year, Apple saw its profits fall for the first time in a decade, easing 18 percent due to lower margins on the iPhone and iPad when compared to 2012.
Samsung is expected to see a sales boost this quarter with the launch of the Galaxy S4, though the company has seen some apparent production issues that led to delayed debuts at U.S. carriers Sprint and T-Mobile. Apple is not expected to introduce its next-generation iPhone until this fall, about a year after the launch of the iPhone 5.
Comments
Can't really digest the good news for fandroids.
The other thing that annoys me about articles that compare Samsung's market share to Apple, is that they don't mention that Samsung had been making and selling cell phones—including "smart" phones—way longer than Apple. In light of that, Apple's share of the smart phone market should be treated with far more respect!
Quote:
Originally Posted by bengregg
With all the lying, subterfuge and dirty handed tricks that Samsung has pulled so far, how do we know this news is even true? From what I've been reading, they're a privately held, family-owned company with a vendetta against Apple.
The other thing that annoys me about articles that compare Samsung's market share to Apple, is that they don't mention that Samsung had been making and selling cell phones—including "smart" phones—way longer than Apple. In light of that, Apple's share of the smart phone market should be treated with far more respect!
Are they a privately held company?
Quote:
Originally Posted by AppleInvestor
Associated Press is being paid off by Samsung to run sponsored tweets. This story originated with the AP and was picked up by every major and minor news outlet and aggregator. The fact is, it is a by-product of Samsung's campaign to smear Apple!
This is a quarterly report, not a sponsored tweet or a "story".
Quote:
Originally Posted by Rogifan
Hmm...did I stumble on to SamsungInsider.com?
AI posts article mocking Samsung or calling them dirty:
Haha, look at those Samsung losers. They're a bunch of lying thieves; let's all gather around the fire and torch them in the comment section
AI posts article pointing out good news for Samsung:
Did I stumble on to SamsingInsider.com?
Quote:
Originally Posted by bengregg
With all the lying, subterfuge and dirty handed tricks that Samsung has pulled so far, how do we know this news is even true? From what I've been reading, they're a privately held, family-owned company with a vendetta against Apple.
Quote:
Originally Posted by stelligent
Are they a privately held company?
Samsung Group the conglomerate is private. Many of the subsidiaries are publicly traded companies. The most obvious is Samsung Electronics (being discussed here) which encompasses most of the consumer facing elements of Samsung. Samsung Electronics trades on the Korean exchange as well as ADR in London. There's been chatter about bringing it to the NASDAQ on and off in recent years. Samsung Life (Insurance), Engineering, Techwin, and Heavy Industries are also all public separately.
Quote:
Originally Posted by Mazda 3s
AI posts article mocking Samsung or calling them dirty:
Haha, look at those Samsung losers. They're a bunch of lying thieves; let's all gather around the fire and torch them in the comment section
AI posts article pointing out good news for Samsung:
Did I stumble on to SamsingInsider.com?
Haha, truth. Fanboy morons are hilarious to me, whether they are of the Android or Apple variety.
They're giving me Boredom Cancer.
Quote:
Originally Posted by bengregg
With all the lying, subterfuge and dirty handed tricks that Samsung has pulled so far, how do we know this news is even true? From what I've been reading, they're a privately held, family-owned company with a vendetta against Apple.
The other thing that annoys me about articles that compare Samsung's market share to Apple, is that they don't mention that Samsung had been making and selling cell phones—including "smart" phones—way longer than Apple. In light of that, Apple's share of the smart phone market should be treated with far more respect!
Samsung is publicly traded.
Not to hijack this thread, but why hasn't AI put up the story about Microsoft's win over Motorola? This is, by far, the biggest news so far this year. Motorola learned the hard way that you can't abuse SEP's. And it's relevant because Motorola was previously demanding the same extortionist royalties from Apple, so this win by MS is a big win for Apple and all tech companies.
The OS is still inconsistent, choppy, kludgy, and basically cheap. There's a lot of the little things I take for granted on iOS are not in Android. Things like how after every web search the page looks like it's done rendering, you press a link, and then the page stutters and finally finishes rendering. Then you end up hitting the wrong link.
The hardware is creaky and cheap too, which is why my friends replace them every 6 - 9 months. Battery life is garbage. Camera sucks if conditions aren't perfect.
I'm not here to just focus on the suckage of Android or anything. I'm just curious how Samsung does so well when their solutions aren't that great. I mean at least Nokia and HTC have decent hardware.
There are a lot of first time buyers entering the market. Maybe it's just a case of Android being training wheels for iOS?
Pure Gold!
I love it!
Keep in mind there was no iPhone release in China et al this year compared with same quarter last year. That launch, in 1 weekend sold 2 million iPhones in China alone, not to mention the next 2 weeks of stock-outs.
Quote:
Originally Posted by MacBook Pro
Strangely, the only information about Samsung's financial performance I can actually see on their website is their canned press release. Any other page I have attempted to review has timed out despite my having attempted multiple "tricks."
http://www.samsung.com/us/aboutsamsung/ir/ireventpresentations/earningsrelease/downloads/2012/20130125_conference_eng.pdf
Correct link is:
http://www.samsung.com/us/aboutsamsung/ir/ireventpresentations/earningsrelease/downloads/2012/20130426_conference_eng.pdf