Samsung has utimately established its place as the globe’s leading smartphone seller after setting a record for the most units of smartphones shipped in the third quarter of the year. The company has sold 56.3 million phones including its flagship device the Galaxy S III in the July to September quarter of the year. This sales figure represents 31.3% of the global market that is over twice as much its rival’s Apple’s 15% share.
The net profit for Samsung doubled to a record winning 6.6trn won in Q3. This was also powered by the huge demand for display panels and sales of smartphones. The globe’s largest technology firm also witnessed record operating profits of 8.12trn won in the July –September. This was up to 91% from the same period recorded last year.
The Galaxy smartphone has been a very big seller for Samsung. Its mobile communications business raked in 26.25trn won as third quarter revenue accounting for over a half of the company’s total revenue. The business environment has remained very difficult with world economic uncertainties present among fiscal concerns in Europe and USA. The above was stated by the senior vice president of Samsung Robert Yi. He also stated that despite these concerns the company was able to break records and increase sales.
The net profit of the third quarter was up from 3.4trn won posted a year ago to beat the previous records of 5.19trn won set in the quarter of April to June. The total sales of the company increased by 26.4% per year to an all time record of 52.2trn won.
Expert market analysts predict Samsung will witness a marginal fall in income in the final quarter as sales to retailers peak in the 3rd quarter ahead of Christmas with technology firms ramping up expenditure on marketing campaigns for the year end rush. However they added that the mobile company’s business will continue to generate profits with its latest service offerings of high end phone products like its flagship mobile the Galaxy S III smartphone.
Citi in a report stated that Samsung will deliver solid earning increase with their leaderships in products popular in the consumer branded market, phone and TV. There will also be increased bargaining power in its component business, display panel and semi-conductor segment. The shares of Samsung were low and down over 2% at 1.287m won in early day recent trades. The large display panel of Samsung has brought in more profits for the company. The mobile giant stated that its display panel business had helped drive records in the quarter when compared to its loss in the previous section a year before.