Sources: Samsung on Newswire, Bloomberg
quote: With Apple predicted to draw $10.1B USD, Samsung showed just how close it is getting to the American firm in profitability. Samsung's earnings guidance suggests an 8.7T won ($7.7B USD) profit
quote: Samsung also scored a 3 percent stake in rival Japanese TV display maker Sharp Corp. (TYO:6753), paying around 10.4B yen ($108M USD). The move could be a threat to Apple's supply chain, as Sharp is the second largest producer of iPhone displays.
quote: The earnings guidance may further trouble Apple investors who were recently disturbed by a research note from Citigroup Inc. (C) analyst Glen Yeung who suggested Apple may miss its own earnings guidance. Mr. Young is predicting Apple may make as little as $40.5B USD in revenue (which in turn would indicate a "weaker" profit in the $9B USD ballpark).He predicts Apple will only move 34 million smartphones for the quarter (almost precisely half Samsung's shipments). In his note he wrote, "In conducting our regular field work with the hardware supply chain, we again find evidence of reduced demand to Apple's suppliers for iPhone 5 related components. While production does not directly translate to sales (for example, we estimate Apple finished 1Q13 (Dec) with [around] 10M iPhone units in inventory), we suspect this is an indication of softer demand for iPhone 5 and iPhone 4S."
quote: However, Samsung stands head and shoulders above Apple in performance in developing markets. While the iPhone is seen as a status symbol among China's elite, Apple is still reeling from a PR disaster regarding poor warranty support in China, which led the nation's state-run media publications to skewer the American firm with scathing articles.
quote: Glen Yeung -- the same Citi analyst who predicts an Apple miss for this last quarter -- says that the Chinese boondoggle could cost Apple around $13B USD in sales, owing to ill-will in the nation's largest mobile market.