Samsung Reports $6.39 Billion Profit Last Quarter, Warns of "Stiff Competition" in Mobile

Business operations are sizzling over at Samsung, the South Korean handset maker that just announced a consolidated net profit of 7.15 trillion won, or about $6.39 billion, for its first fiscal quarter of 2013. That's up more than 40 percent from the same quarter a year ago and also marks six quarters of consecutive profit growth.

Not all of Samsung's figures moved in a positive direction, however, as revenues declined 6 percent sequentially to 52.87 trillion won. Consolidated operating profit also dipped slightly, moving backwards 1 percent to 8.78 trillion won. Still, with profits soaring, Samsung with take it, albeit with a pinch of caution.

Samsung Galaxy S III

"Although market uncertainties from the European crisis and the slow global economic recovery are still lingering, we expect to increase R&D spending for strengthening our competitiveness ahead of planned new product launches," said Robert Yi, Senior Vice President and Head of Investor Relations. "We may experience stiffer competition in the mobile business due to expansion of the mid- to low-end smartphone market while TV growth will continue to wane in developed markets."

Samsung warned that cheaper smartphones will challenge all market players, itself included, and it expects its own smartphone sales to stay flat in the second quarter before picking up again in the second half of the year. It's an interesting outlook considering the highly touted Galaxy S4 launches tomorrow.
Via:  Samsung
Tags:  Samsung, Mobile, revenue
Comments
ajm531 one year ago

well hopefully they do bring some innovation to their galaxy note 3 particularly in the materials it uses to build it. Im not against plastic but it would be a nice change. Oh and if the use the UBP(unbreakable plane)glass which is not quite bendable but close enough to it that if you drop your phone it shouldnt break as easy since that glass is close to bendable therefore it will have more give as opposed to brittle glass

rdsoxfan1234 one year ago

I also wish that they would move away from plastic. I currently own the GS3, and its plastic design feels cheap comparably to other premium phones. But on the other hand, I feel that plastic is a lot more shock proof than aluminium. I have dropped my phone from pretty high up and it walked away with only a few dents, luckily.

Clixxer one year ago

[quote user="rdsoxfan1234"]

I also wish that they would move away from plastic. I currently own the GS3, and its plastic design feels cheap comparably to other premium phones. But on the other hand, I feel that plastic is a lot more shock proof than aluminium. I have dropped my phone from pretty high up and it walked away with only a few dents, luckily.

[/quote]

I know Samsung keeps saying their are strengthening their plastics on the phone and I wonder if they haven't brought out a aluminum body for the reason you said because of shock proofing to a certain extent and price.

thunderdan602 one year ago

I don't have much of a problem with the plastic being used, as that seems what all Android handsets are made off. And yeah even with the S4, there are a lot of quality handsets available out there. I wouldn't be shocked if a lot of handset makers say the same thing.

MayhemMatthew one year ago

Moto and HTC dont always use plastic.

ricofrost one year ago

I have the samsung ativ s and it doesnt feel cheap at all.

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