Samsung Galaxy S7 and Samsung Galaxy S7 edge help Samsung report higher Q1 operating profits
Samsung said it had strong demand for its smartphones in the first quarter led by the Samsung Galaxy S7 and Samsung Galaxy S7 edge
Samsung reported its first quarter earnings tonight, and since we are not RefrigeratorArena or WasherDryerArena, we will focus on the numbers posted for Sammy's IM division which is made up of its mobile communications and networks business. The company reported $24.2 billion USD in mobile revenue for the quarter. That is a 6.6% gain year-over-year.
Operating profits for Samsung's mobile division came to $3.39 billion USD, a 42% gain over the operating profits reported by Samsung during the same quarter last year. Samsung cited strong demand for the Samsung Galaxy S7 and Samsung Galaxy S7 edge as the reason why operating earnings rose in the quarter. The new flagships were launched during the three month period ending last month. The two handsets are both waterproof (and don't require a flap to cover the ports), and the microSD slot has also returned.
Even though Samsung shipped 60% more handsets in the quarter than Apple did, the Korean manufacturer reported operating earnings for its mobile division that were just 24% of what Apple reported. Overall, Samsung shipped 81.9 million handsets from January through March.
Samsung expects year over year growth in smartphones to decline for the rest of the year. As far as the tablet market is concerned, Samsung expects an outright decline in demand on a year-over-year basis for the remainder of 2016.
source: Samsung via AppleInsider