Samsung Electronics profits grow 42% on strength of smartphone sales

Posted:
in General Discussion edited January 2014
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.

Galaxy S4
The Galaxy S4 will go on sale this Saturday. Source: Samsung


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.
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Comments

  • Reply 1 of 76
    chandra69chandra69 Posts: 638member


    Can't really digest the good news for fandroids.

  • Reply 2 of 76
    rogifanrogifan Posts: 10,669member
    Hmm...did I stumble on to SamsungInsider.com? :no:
  • Reply 3 of 76
    I believe many Chinese brand android driven smartphones profit growth is much more than Samsung . Why ? From 100k to 200k unit . 100% profit growth . that is what the market likes .
  • Reply 4 of 76
    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!
  • Reply 5 of 76
    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!
  • Reply 6 of 76
    I think in the near future , Shamesung will face the same in 1-2 years due to its profit is too big to grow.
  • Reply 7 of 76
    stelligentstelligent Posts: 2,680member

    Quote:

    Originally Posted by bengregg View Post



    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?

  • Reply 8 of 76
    stelligentstelligent Posts: 2,680member

    Quote:

    Originally Posted by AppleInvestor View Post



    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".

  • Reply 9 of 76
    mazda 3smazda 3s Posts: 1,566member

    Quote:

    Originally Posted by Rogifan View Post



    Hmm...did I stumble on to SamsungInsider.com? image


     


    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?

  • Reply 10 of 76

    Quote:

    Originally Posted by bengregg View Post



    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 View Post


    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.

  • Reply 11 of 76

    Quote:

    Originally Posted by Mazda 3s View Post


     


    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.

  • Reply 12 of 76
    gtrgtr Posts: 3,231member
    Less stories about Samsung would be an improvement.

    They're giving me Boredom Cancer.
  • Reply 13 of 76
    I like Samsung...they make a nice plasma screen TV and bluray player. As for computer products and phones...I tried them and was not impressed. Their Note tablets felt jerky and the screens fuzzy...the Galaxy phone feels plasticky and cheap.I love my iMac, iTunes, AppleTV, my iPhone 5 and my retina screen iPad and nothing Samsung (or any other Android based product)has done recently has changed my mind on that. Apple will continue to show innovation and quality in future products, while Samsung will continue to try to flood the market with cheaper options. Both companies are extremely good at what they do!
  • Reply 14 of 76
    igrivigriv Posts: 1,177member

    Quote:

    Originally Posted by bengregg View Post



    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.

  • Reply 15 of 76


    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.

  • Reply 16 of 76
    Has anyone actually used a Galaxy? My friends have them, and like them because they were cheap on contract and it's easy to replace them - because they fail a couple of times during a contract.

    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?
  • Reply 17 of 76
    gtrgtr Posts: 3,231member
    Maybe it's just a case of Android being training wheels for iOS?

    Pure Gold!

    I love it!
  • Reply 18 of 76


    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. 

  • Reply 19 of 76
    macbook promacbook pro Posts: 1,605member
    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."
  • Reply 20 of 76
    igrivigriv Posts: 1,177member

    Quote:

    Originally Posted by MacBook Pro View Post



    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

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