Samsung's quarterly profits decline for the seventh time in a row

Samsung's quarterly profits decline for the seventh time in a row
Samsung's Q2 earnings for 2015 have fallen below expectation, with the company facing a 4% drop compared with April-June of 2014. Having endured a bit of a financial blip through last year -- thanks in no small part to the success of Apple's iPhone 6 and 6 Plus -- the launch of the Galaxy S6 and S6 edge was supposed to be Samsung's secret weapon as it looked to recover. But with supply shortages of the S6 edge suggested as being a major factor, operating profit is down was down to $6.13 billion, which is even lower than the conservative forecasts of 39 analysts from a Reuters survey. 

It should be noted that these are mere estimates from Samsung for the time being, but the company does plan to release a detailed financial report later on this month. Nonetheless, this doesn't make happy reading for all connected with Samsung, especially given the fanfare that met the arrival of the Galaxy S6 and S6 edge. 

The consensus is that these devices are the two best that Samsung has ever churned out, but the sales numbers don't appear to have corroborated this. There's been much talk -- refuted by those high up in Sammy's hierarchy -- that the next-gen Galaxy Note 5 will arrive earlier than its normal slot, in an attempt to fend off Apple's next smartphone.

For now, it seems that Samsung may have shot itself in the foot by not having foreseen the success of the Galaxy S6 edge. A powerful handset with an undeniable, hard-to-match sense of beauty, it has been warmly received by consumers. But as with any company, it can only sell as many as it makes, and with a larger version of the S6 edge said to be on the horizon, those with a financial interest in Samsung will be hoping that reported yield issues won't resurface. 

source: Re/code via WSJ

Related phones

Galaxy S6
  • Display 5.1" 1440 x 2560 pixels
  • Camera 16 MP / 5 MP front
  • Processor Samsung Exynos 7 Octa, Octa-core, 2100 MHz
  • Storage 128 GB
  • Battery 2550 mAh(23h 3G talk time)
Galaxy S6 edge
  • Display 5.1" 1440 x 2560 pixels
  • Camera 16 MP / 5 MP front
  • Processor Samsung Exynos 7 Octa, Octa-core, 2100 MHz
  • Storage 128 GB
  • Battery 2600 mAh(26h talk time)

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148 Comments

1. Mxyzptlk unregistered

Maybe the time has come for Samsung to finally start focusing on quality instead of quantity.

3. PapaSmurf

Posts: 10457; Member since: May 14, 2012

S6 Edge. Just saying.

7. QWERTYphone

Posts: 654; Member since: Sep 22, 2014

GOOD !!!! No removable battery & removable SD = FAIL Fragile phones made of glass = FAIL Trying to be Apple = FAIL

13. PapaSmurf

Posts: 10457; Member since: May 14, 2012

Fragile phones made of glass? Have you not seen drop tests of the S6?

19. Diezparda

Posts: 941; Member since: Oct 23, 2013

Yeah quite surprising there, i wouldn't think S6 edge would survive from drop test better than iPhone it's all glass and reinforced by aluminum frame.

75. seret6

Posts: 279; Member since: Aug 14, 2013

Why isnr samsung introducing 4K screen in Note4???? Why are they stubborn on shooting their own foot?

22. QWERTYphone

Posts: 654; Member since: Sep 22, 2014

YES I'VE SEEN THEM! THE S6 SHATTERS LIKE THE GLASS IT IS. ARE YOU BLIND ?????

29. PapaSmurf

Posts: 10457; Member since: May 14, 2012

81. Shocky unregistered

It does take quite a lot to shatter gorilla glass 4 compared to your bog standard glass but yes It is glass so of course when it shatters, it's a bit like glass. Who would have thought that!!!!? Were you expecting it to not shatter? did you think it's magic glass? lol

18. fyahking

Posts: 1146; Member since: Jan 28, 2015

Apple would fail too after all the sheep dissappear!lol

21. techspace

Posts: 1037; Member since: Sep 03, 2012

Leaving iPhone for android is not as easy as switching from one android phone to another.

61. aba71983

Posts: 807; Member since: Jul 24, 2014

It's not going to happen. For sure, you will die first before Apple company will totally close. Just saying and don't feel hurt because that's the truth.

126. engineer-1701d unregistered

you must be really young not to know much about companies, opening and closing

23. xtremesv

Posts: 299; Member since: Oct 21, 2011

I also hate the iPhone wannabe part. Samsung, you're a respectable company around the globe, you can do better than mimicking Apple's toyphones.

127. engineer-1701d unregistered

if they added the sd on as well as the internal and much bigger battery it would be great but they also did not sell all the colors it was so hard to get normal color,

30. mrochester

Posts: 947; Member since: Aug 17, 2014

Android = FAIL

64. tedkord

Posts: 17133; Member since: Jun 17, 2009

80-13 is a fail?

128. engineer-1701d unregistered

mrochester = MEGA FAIL hahahaha losers are so funny

83. M.O.A.B

Posts: 317; Member since: Feb 13, 2015

for god sake !! have you ever ever commented about something that is not a micro SD card slot and removable battery ????!!! do you worship them ?? do you eat them ? dude we got your point, no need to repeat it over and over and over for more than half a year like there is nothing else to care about in this world it is time to relax man .. there's lots of smartphones out there just pick the one you need man !

104. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

If people had as much brains as money = FAIL

12. medicci37

Posts: 1361; Member since: Nov 19, 2011

They've got the best hardware now time to learn how to do the software thing

59. Ahovking

Posts: 711; Member since: Feb 03, 2015

If they got the software thing.. the hardware would suffer.. because for example you don't just need anymore than 2gb ram in a modern smartphone like the Note.

65. tedkord

Posts: 17133; Member since: Jun 17, 2009

With true multitasking, sure you do.

92. Ahovking

Posts: 711; Member since: Feb 03, 2015

Samsung Galaxy E7, Xiaomi Redmi Note 4G, Huawei Honor 4C, Galaxy S5 and S4 all had no more than 2gb of ram yet were able to handle true multitasking no problem.... I can work on 3 - 5 apps on my iphone without any of them reloading, restarting or crashing on me.. isnt that multitasking? with 1gb of ram!!

105. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

None of them have the Note applications either. None of them have an Spen either.

130. engineer-1701d unregistered

no its not multitasking, apples os goes into hibernation when apps in the back ground just look at the speed test vids apple stops the game and reloads right where it left off, that why so many tech people get mad when apple fans say the iphone does multitasking

129. engineer-1701d unregistered

if they run tizen 2gb will be fine for them to optimize but since they lay theres on top of android you need the ram to get through the multiple layers.

25. Supraman21

Posts: 467; Member since: Jun 09, 2010

I love my S6 but dam does it heat up easily.

32. NitishNK

Posts: 36; Member since: Jul 03, 2015

Mxyzptlk, like you most of the users well said. First of all, the features on a samsung device are crappy or not more than a gimmick. Secondly, Their design which really sucks which they brand as "Classic" on their website. Third, Their R&D might be the highest, They might be spending millions in the research for their other electronics like refrigerators, TVs and all those but they are not spending a penny on their mobile devices. Fourth, Most of the people buy samsung phones only because their refrigerators, ACs and TVs are samsung. Fifth, due to very high profit margins, traders somehow convince the first buyers to buy a samsung just by saying samsung is no.1. oh! F**k. Sixth, they spend half of the price of the device only on Ads. Seventh, due to very cheap devices they may not get profited which the get in overpricing the parts. Eighth, In a country like India and other developing countries, back in 2010-11, They sold those sucking Galaxy Y, ace and other crappy devices branding them as smartphones ..oh! f**k, even dumb phones were smarter than them. This translates to their marketing strategy. due to this reason only they are losing grounds in developing countries. Ninth, Back in their golden days they used a great advantage of high specs at low prices by saying 1 and 2 GHz processors which were even slower than 434 MHz ARM processors, 5MP cameras which were way behind than 2 MP of Nokia, 1500 Mah batteries which were way behind than 1200 Mah of Nokia and Apple. And yes wait...a 480x800 resolution on a 5" Grand??? What the hell was that? And how the people even bought it and that too in 2013 when their flagship carried a 1080P at 5". So why not a 720P on the mid-ranger? The product quality just sucks. Tenth, All this from shamefully an ex-samsung fanboy. I wont be surprised if the market is again headed by the QUALITY GIANT Nokia. Unfortunately, I realised all this way too late. They are missing a 'H' from their name. It would have been "SHAMESUNG". Bloody CHEATS!!. Shamefully, I too was a Samsung fan.. the biggest mistake of my life.

84. Ruturaj

Posts: 1484; Member since: Oct 16, 2014

1. Yes some features are crappy/gimmicks, but some are very useful, I like s health more than google fit and note 4 has some of the best features. If you start calling every feature gimmick, you need normal phone not a smart phone. 2. I really like their design from last year, note 4, alpha, S6. 3. They spend a lot on phone r&d, that's why they have best SOC (5433,7420) which doesn't heats or throttles as SD810, best camera, they did fit more battery, better processor, in very thin device.

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