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Samsung mobile sales, operating profit down in Q1

2014-04-29 08:19:00| Telecompaper Headlines

(Telecompaper) Samsung reported first-quarter revenues of KRW 53.68 trillion, up slightly from KRW 52.87 trillion a year earlier. The company's operating profit dipped to KRW 8.49 trillion from KRW 8.78 trillion, while net profit rose to KRW 7.57 trillion from KRW 7.15 trillion a year ago. Samsung saw a slowdown at its IT and mobile division, due to seasonality as well as competition and weaker demand in emerging markets. Revenues at the division fell to KRW 32.44 billion from KRW 32.82 trillion, and operating profit was down to KRW 6.43 trillion from KRW 6.51 trillion. Samsung said profits were up and smartphone shipments steady compared to Q4, thanks to better control of marketing costs and demand for low and mid-range models. The company also shipped almost 13 million tablets in the quarter, helped by its new Pro range. Samsung expects smartphone and tablet demand to improve somewhat in Q2, and said earnings should be solid thanks to the recent launch of the Galaxy S5 flagship phone, which is expected to surpass its predecessor in sales. For the rest of 2014, Samsung said it targets expansion in the Chinese LTE market as well as well as growing profitability from its wearables business. Its Display Panel and Consumer Electronics divisions should also improve results from Q2. 

Tags: sales mobile operating samsung

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