Samsung estimates $7.7B profit in Q1

South Korean electronics giant expects to post an operating profit of 8.7 trillion won in the first quarter of the new fiscal year, which is a 52.9 percent increase from 2012.
Written by Kevin Kwang, Contributor

Samsung Electronics will be starting the year on the right foot when its first quarter fiscal estimates include a 52.9 percent on-year improvement on its operating profit to 8.7 trillion won (US$7.7 billion).

Yonhap News Agency said in a report Friday the electronics giant revealed its preliminary estimates in a regulatory filing, while the actual first quarter earnings report will be released later this month.

The 8.7 trillion won in operating profit was a 1.6 percent decline from the quarter before though, when Samsung reported operating profits of 8.8 trillion due to the robust sales of its Galaxy S3 and Galaxy Note 2 smartphones, it added.

First quarter revenue was estimated at 52 trillion won (US$46.2 billion) and this represented a 14.9 percent increase from the year before, although the preliminary estimates did not break down the figures from the different business units, the report noted.

The first quarter figures are unlikely to factor in the positive impact Samsung's latest smartphone, the Galaxy S4, will have on its bottomlines given that sales will only start at the end of the month.

Analysts earlier told ZDNet Asia that the South Korean giant's established branding, marketing clout, and efforts to innovate on its software and services will continue to draw customers to its flagship handset, particularly in Asia.


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