Samsung Beats Analyst Profit Expectations by 10%, Outsells Apple 2-to-1
April 26, 2013 12:20 PM
comment(s) - last by
(Source: Cult of Mac)
And that's all without the Galaxy S IV even; Samsung is almost even with Apple in profitability
While reviewers were
generally enthusiastic, but a bit critical
of Samsung Electronics Comp., Ltd.'s (
) hot new flagship phone --
the Galaxy S IV
-- the company has little to feel bad about currently. Even without the GSIV anchoring its Android tag team, Samsung
to crush rival Apple, Inc. (
) in unit sales and deliver a fiscal performance that blew past analyst estimates.
The high profit was a bit of a surprise --
of 10 analysts by UK-based
, a Pearson PLC unit (
), found an expectation of 8.0T won ($7.2B USD) in profit. A newer compilation
of 39 analysts' predictions showed an average expectation for 8.4T won ($7.6B USD) in profit.
Instead, Samsung delivered 8.8T won ($7.9B USD) profit, up over 50 percent from the 5.7T won ($5.1B USD) profit it
posted in the first calendar quarter of 2012
and 10 percent better than the early analyst estimates. The Android mobile division drove the big win. 6.51T won ($5.7B USD) of the profit -- nearly three-quarters -- came from the mobile unit. Total revenue came in at 52.87T won ($47.6B USD). These figures were in line with
released near the start of the month.
After years of Apple fans and shareholders mocking Samsung as "less profitable", Samsung is almost even with Apple in profitability. Apple reported its first quarter results at the start of the week, announcing its
first YOY decline in profit
in a decade.
Apple has seen its momentum halted by the
death of its iconic leader Steven P. Jobs
(in 2011) and then by
disappointment over the iPhone 5 sales growth
and hardware. Google meanwhile has surged as Apple's court bid to ban Android stalled [
], and as its OEM partners pounced on Apple in terms of hardware offerings. Stock and profit for Apple are riding at recent lows. Apple's supporters point to new products and refreshes, optimistically -- but Samsung is boasting the same upcoming events (see:
Samsung Smart Watch
, for example).
Here's a quick recap on how the two companies are stacking up:
Samsung appears poised to potentially pass Apple in profit in Q2. And early indications show that if the Galaxy S IV has any problem it will be in being unable to keep up with wild demand.
The phone is launching in coming weeks on 327 mobile carriers in 155 countries, backed by a massive global advertising campaign that kicked off this week. In the U.S. Samsung has paired with top brick-and-mortar electronics retailer Best Buy Comp., Inc. (
) to set up "mini-stores" promoting the phone within Best Buy's retail locations.
Galaxy S IV preorders are higher than expected [Image Source: Samsung]
, the very high level of preorders have surprised even analysts, and indicate that Samsung may struggle to fulfill demand. That's a pretty good problem to have, though.
Samsung hopes to sell
390 million smartphones
This article is over a month old, voting and posting comments is disabled
RE: Article title is inaccurate...
4/29/2013 5:29:50 PM
Reporting shipped vs sold is one reason, the other is that Samsung mostly ships low end devices. Flagship phones make up only about a quarter of Samsung's sales, while most of what Apple sells are high end. If Samsung sold a similar percentage of high end devices as Apple then you'd see much closer overall profit margins. There is only so much to be made on cheap/giveaway low end devices.
Samsung does ship more high end Android phones by a very wide margin though. HTC/LG/Moto aren't even close.
"I modded down, down, down, and the flames went higher." -- Sven Olsen
Samsung Galaxy S IV Reviews: Better Than Its Predecessor, But Most Prefer HTC One
April 24, 2013, 10:16 AM
Apple's Q2 Earnings Slightly Exceed Analyst Expectations, Sees First YOY Profit Drop in a Decade
April 23, 2013, 4:41 PM
Samsung to Break Another Profit Record, Creeps Closer to Apple
April 5, 2013, 12:34 PM
Samsung Planning to Release a Smart Watch
March 19, 2013, 10:42 AM
Galaxy S IV Smartphone Launches in NYC
March 14, 2013, 7:15 PM
Retiree Sues Apple For $7,500 for Wiping Honeymoon Photos From His iPhone
November 30, 2015, 10:23 AM
iPhone 7 May Pack 3-4 GB Memory, More Storage; 4-Inch Comeback is Rumored
November 20, 2015, 10:12 PM
OnePlus One, OnePlus 2 Will Receive Android Marshmallow in Q1 2016
November 16, 2015, 9:58 AM
Lenovo Whoa: Motorola Droid MAXX 2 and Turbo 2 Break Cover in Leaks
October 26, 2015, 3:12 PM
Leak: Apple Preps for First Real Android App Foray With New Apple Music App
October 24, 2015, 1:59 PM
Pepsi Smartphone? Empty Calories Coming Soon to the Midrange
October 12, 2015, 11:41 PM
Most Popular Articles
Top 5 Smart Watches
July 21, 2016, 11:48 PM
Free Windows 10 offer ends July 29th, 2016: 10 Reasons to Upgrade Immediately
July 22, 2016, 9:19 PM
Latest Blog Posts
Sceptre Airs 27", 120 Hz. 1080p Monitor/HDTV w/ 5 ms Response Time for $220
Dec 3, 2014, 10:32 PM
Costco Gives Employees Thanksgiving Off; Wal-Mart Leads "Black Thursday" Charge
Oct 29, 2014, 9:57 PM
"Bear Selfies" Fad Could Turn Deadly, Warn Nevada Wildlife Officials
Oct 28, 2014, 12:00 PM
The Surface Mini That Was Never Released Gets "Hands On" Treatment
Sep 26, 2014, 8:22 AM
ISIS Imposes Ban on Teaching Evolution in Iraq
Sep 17, 2014, 5:22 PM
More Blog Posts
Copyright 2016 DailyTech LLC. -
Terms, Conditions & Privacy Information