Samsung Reports $7.4 Billion Profit, Sells 56.3 Million Phones
October 26, 2012 5:04 PM
comment(s) - last by
Samsung Galaxy S III
Samsung did well, but many worry that it won't see this amount of money rolling in next year as the smartphone market continues to grow competitive
Samsung reported strong financial earnings in the third quarter, but now faces slowed smartphone momentum in the future as the market gets more crowded.
Samsung posted $7.4 billion USD in Q3 2012 operating profit. Net profit rose 90 percent to $5.9 billion USD.
During the third quarter, Samsung sold 56.3 million smartphones, giving it a global market share of 31.3 percent. Apple only sold 26.9 million iPhones in the same quarter. The Samsung Galaxy S III alone accounted for 18-20 million shipments from July to September.
While Samsung did well in the smartphone department, particularly with its Galaxy line of devices, it didn't do so hot in chip sales. The chip division dropped 28 percent to $1 billion USD.
Samsung rocked a healthy profit overall this quarter, but many worry that the electronics maker won't see this amount of money rolling in next year as the smartphone market continues to grow competitive.
In fact, Samsung's profit is expected to grow 16 percent next year -- down from this year's predictions of 73 percent.
Samsung has other strong businesses, like tablets and OLED TVs, but analysts say these sectors aren't quite ready to sell the way that Galaxy is selling.
Samsung's tablets, in particular, haven't been able to keep up with the like of the iPad and Kindle Fire. Now, with the
tablets making a fresh appearance into the market (not to mention Google's Nexus 7 and a refreshed Kindle Fire HD line has made its way into the market), Samsung seems to continuously fall behind.
Samsung also took a hard hit with tablets due to its patent war with Apple.
Apple worked pretty hard to ban Samsung's smartphones and tablets around the world, and successfully accomplished this in countries like Germany and Australia. Samsung launched a few lawsuits of its own regarding
, and was also able to lift the ban on its Galaxy Tab 10.1 in Australia in December 2011. However, Samsung
wasn't so lucky in Germany
, where the Galaxy Tab 10.1 is still banned.
Back in August, a jury in the U.S. District Court for the Northern District of California reached an unfavorable verdict for Samsung, saying that the South Korean electronics maker was
guilty of violating technology patents
. In other words, most of Samsung's smartphones and tablets in question were found guilt of copying Apple's iPhone and iPad designs.
It was ordered to pay $1.05 billion in damages to Apple.
Earlier this week,
Samsung Display decided to cut ties with Apple
, saying it will no longer ship LCDs to Apple next year. Its LCD shipments to Apple have been cut more and more over time due to Apple wanting huge discounts, but the recent patent infringement drama couldn't have helped either.
More recently, an ITC judge found that
Samsung violated four Apple patents
the flat front face with wider borders at the top and bottom, the lozenge-shaped speaker about the display screen; the translucent images for applications displayed on the screen, and the device's ability to detect when a headset is plugged in.
Samsung did get a little bit of relief in the UK, though, when a judge ordered Apple to post a notice on its UK site that Samsung didn't copy the iPad. Apple complied, but
in a very snarky way
This article is over a month old, voting and posting comments is disabled
10/27/2012 8:02:29 PM
And he claims he isn't an Apple Fanboi...
"Death Is Very Likely The Single Best Invention Of Life" -- Steve Jobs
Apple Publishes Notice on UK Site that Samsung Didn't Copy the iPad
October 26, 2012, 11:38 AM
ITC Judge Says Samsung Violated Four Apple Patents
October 25, 2012, 8:39 PM
Samsung Display to Apple: I Want a Divorce
October 22, 2012, 1:53 PM
Bill Gates Thinks Windows 8, Surface Products are "Incredible"
October 22, 2012, 12:52 PM
Apple Unveils 7.9" iPad mini, 16GB Model Starts at $329
October 23, 2012, 1:50 PM
Samsung Hopes to Launch Budget Tizen Device in India by November
September 19, 2014, 5:25 PM
Verizon Wireless Wi-Fi Calling Coming Next Year, Company Sees No Rush to Offer Feature
September 19, 2014, 11:45 AM
Quick Note: Toshiba to Restructure PC Business, Cut 900 Jobs Worldwide
September 18, 2014, 1:40 PM
Samsung Galaxy Note 4 U.S. Pre-orders Start Sept 19, Launches Oct 14
September 18, 2014, 10:15 AM
Amazon Releases New and Refreshed Kindle Fire Tablets, Announces Fire OS 4
September 17, 2014, 10:23 PM
Apple Launches iOS 8 for iPads, iPhones
September 17, 2014, 1:54 PM
Most Popular Articles
HTC Preps Nexus 9 With Nvidia K1 64-Bit "Denver" SoC, Android L Onboard
September 10, 2014, 10:21 PM
Dell Announces "World's Thinnest" Tablet: The Venue 8 7000 Series
September 11, 2014, 8:51 AM
Apple iPhone 6, iPhone 6 Plus Reviews Roll In
September 16, 2014, 9:13 PM
Samsung Calls Out “Copycat” Apple for 5.5” iPhone 6 Plus in New Ads
September 14, 2014, 11:06 PM
Confirmed: Next Generation of Windows to Be Announced on September 30
September 15, 2014, 4:43 PM
Latest Blog Posts
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
Space Terrorism is a Looming Threat For the United States
Apr 23, 2014, 7:47 PM
Facebook Aims to Provide Internet to "Every Person in the World" with Drones, Satellites
Apr 1, 2014, 10:20 AM
Retail Mobile Sites Experience Outages in Light of Simplexity's Bankruptcy
Mar 14, 2014, 8:48 AM
Tesla vs. BMW: Who Has the Safer EV?
Feb 1, 2014, 2:56 PM
More Blog Posts
Copyright 2014 DailyTech LLC. -
Terms, Conditions & Privacy Information