Samsung

Samsung has made a statement that they expect a second consecutive quarter with declining profits. The Wall Street Journal also speculates that factors such as a partial sales ban on Korea's top two carriers and perceived opinion that the Galaxy S5 — due to hit stores in Europe and North America Friday, April 11 — doesn't offer enough features to validate the upgrade fees, and the sales figures will not surpass last year's model. They say this will affect sales this quarter as well. We say it's too early to even make that sort of prediction, and we'll wait to count the beans after all is said and done.

Samsung says that the company operating profits have fallen 2.1-percent from the previous year for the quarter ending March 31. The company's profit margins fell 6-percent for Q4 2013, which was Samsung's first drop in the past 24 months.

Source: WSJ

 

Reader comments

Samsung forecasts lower operating profits for the quarter

56 Comments

Yes. When you're making BILLIONS each quarter you'll be okay for at least a few years. As long as this isn't the beginning of the end they'll be okay. ;-)

They can probably go on for over a decade losing 1-2% and still be making billions. It's when you see dramatic drops in Samsung and dramatic sales increase in its competitors like HTC is when they can worry but right now it's not happening.

Posted via Android Central App using galaxy s4

I am surprised their profits are down... They have 72 phones and 44 tablets in their current lineup lol

Posted via Android Central App

Yes, someone needs to step up.. HTC, Sony, LG, lenorola

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You really should see the crap I don't post. Sorry if honesty offends you

If HTC would put a removable battery and a 13 to 18 megapixal camera on their phone. I believe they could give Samsung a run for their money. Maybe next year if HTC is still around they will step it up.

Posted via Android Central App

Unless someone donates a billion dollars to them to poor into marketing it won't matter much what they put in their phone.

And nobody cares about removable batteries anymore

Nobody cares about removable batteries anymore? That's one of the main complaints I hear about HTC. And the camera of course.
Posted via Android Central App

You don't speak for millions of people, you speak for yourself. An embedded battery is a design FLAW!

Posted via Android Central App

You forgot to apply "in your personal opinion." Unless you are a hypocrite?

In my personal preference, the non-removable battery is not a flaw. The battery last me (in one m8) from 8am until midnight with juice in the tank. Then in case of emergency I can put it in emergency mode and call/text for a long period of time.

The battery charger extremely quick with Qualcomm 1.0 and I can't imagine how hassle free charging will become when HTC releases the 2.0 charger.

Posted via the One successor to the One

Normal folks don't care about the cheap aluminum built. Do you think people go all crazy when they're are holding their soda drinks. People who read these sites are the ones who have been brainwashed by the Apple propaganda to think that aluminum is premium. Look at the prices between aluminum and polycarbonate and see which one is cheaper. Where would HTC get the money to buy premium material when they're losing money left, right and center. One of the reasons Apple is making so much profit is because they're using that cheap aluminum which boast their profits.
Only fools think that aluminum is premium...

It's not about how it feels, it's about how much it cost. Here in England a can of coke cost 65p whilst a plastic bottle of coke cost £1.25. You do the math. Don't tell me this BS about it feels premium. I buy a phone to use it not to caress it.

I'm getting the S5 but I went to my local At&t store and held both phones and in my opinion the M8 does feel more premium then the S5. So stop being such a fanboy. And if you're not being a fanboy you're sounding like one.
Posted via Android Central App

As if I care what you think about me. I'm just stating that aluminum is cheaper than polycarbonate. So why should i fool myself to think that it is more premium when its not.

But when people say it FEELS premium they're talking about how it FEELS, not how much it costs. Who gives it shit about how much the materials cost for it?

SMH..... As I said i buy a phone to use it not to feel it. I reserve the feel thing for women breasts and their tight cat. The phone is the last thing that comes to my mind when it comes to something i like to feel.

"Who gives a shit about how much the materials cost for it?" Are you for real?

Lol. Are you going to use it with your mind powers without touching it? Sure, I buy phones based on how well they perform and what type of features they have, BUT there are people who think the look and "feel" of the phone are as important as what type of processor it uses...

"I reserve the feel thing for women breasts and their tight cat." Are YOU for real?

There's a counter argument some would make that plastic or polycarbonate or whatever you want to call it is cheap. And only fools would believe plastic is premium. So it goes both ways.
Posted via Android Central App

I never said plastic is premium. If you want to buy a phone made from premium material then you should go all in and buy Vertu phone which comes inside a polished titanium case with leather accents and a virtually scratch proof sapphire crystal screen. I'm smart enough not to fool myself that I'm holding a premium phone when I'm holding a phone made from cheap aluminum.

I don't know about that. I was sitting at a table last night and showed my friends my m8. They both have an s4 and an s4 active. Without mentioning any of my preferences for the phone they brought up how nice the phone felt in their hands.

Posted via the One successor to the One

Meh, your right. Knew it when I typed it lol

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You really should see the crap I don't post. Sorry if honesty offends you

Especially Sony, they don't have a flagship on all 4 national carriers, like HTC, Samsung, and LG do. I don't take Sony seriously because of that.

Posted via Android Central App

Profit is still profit

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You really should see the crap I don't post. Sorry if honesty offends you

Shareholders want to see constant growth. Looks like Sammy's stock price will be dipping like a knife through butter.

Posted via Android Central App

Won't be that bad

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You really should see the crap I don't post. Sorry if honesty offends you

I am glad maybe they will start making a premium phone with useful features and a newer UX...

Posted via Android Central App

It is called the Note 3 or the S5, depending on your needs.

Premium is an overused and tired word. As someone else said, 90% of people use a plastic or rubber case.

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You really should see the crap I don't post. Sorry if honesty offends you

"Premium" is mainly used by pretentious knobs and people who look for any excuse to try and claim Samsung phones are "cheap" plastic when plastic is better than the crappy aluminum HTC uses is several ways.

Posted via Android Central App

Say goodbye to that stock price Samaung. Lol.

But then again Samsung is a conglomerate operating in many types of industries. They'll be perfectly fine with a small dip in profit in their phone space.
Posted via Android Central App

It's amazing how a headline or an article can be spun in such a way that it can shape what people think.
I believe its was Q3 of 2013 that Samsung had profits of over 7 billion for the quarter. Their profits dipped a meager 2.1% in Q4.
When your profits are over 7 billion, somehow a slight dip of 2.1% or only having profits of over 5.5 billion, is not any indication the sky is falling.
Don't get me wrong, no company wants to see less profit, but it's not unreasonable to think that at some point 24 months of rising profits would level off at some point.
There is no alarm here. There isn't a company out there that wouldn't be happy with the profits Samsung will report.
Posted via Android Central App

Yeah where has he been?

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You really should see the crap I don't post. Sorry if honesty offends you

Did he? I missed it.

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You really should see the crap I don't post. Sorry if honesty offends you

That's one of the problems with AC's forums. Even with the worst people, they never permaban anyone. It's made the forums' quality drop and quickly.

Posted via Android Central App

Should be fine, it makes sense with better competition that there will be slight dips also it's better to prepare the stock market with low expectations instead of high expectations that way if they under achieve well they said they would and if they do better it makes them look better.

Posted via Android Central App on nexus 7 (2nd gen)

Exactly, this is how the market works. For years, Apple has done this.

Samsung is still killing it. However, it's good for us and we can hope that they have a realization (not easy when your profits are so high) that the customers' wants are important.

Posted via Android Central App

That is why they are profitable. They make a phone that does what people want. Hell they make a ton of phones for different purposes that do what the individual wants. Take the Note 3. No other phone has a spen and the spen features. It is indispensable to me. For some it is the zoom.

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You really should see the crap I don't post. Sorry if honesty offends you

Yep got a s4 but waiting to see what the note 4 brings in September.. Plus it's closer to my contract end date lol.

Posted via Android Central App using galaxy s4

Well when you convert the won to dollars their operating profit is practically flat or the same from last year. The korean won is stronger now