Samsung Mobile Profits Swell Following Strong Galaxy S7 And S7 Edge Sales
Samsung is raking in the dough, partly thanks to strong Galaxy S7 and S7 Edge sales. Revenue for this past quarter was 50.94 trillion KRW or $45 billion, an 2.4 trillion KRW increase from last year. Operating profits were also eight times what they were last year.
343.3 million smartphones were shipped worldwide from all vendors in the second quarter, but Samsung remained the leader. Samsung and Apple netted similar revenue, however their smartphone sales were drastically different. Apple was only responsible for roughly 40 million of the smartphones purchased during the last quarter. Samsung sold twice as many and currently holds 22% of the world market.
Many attribute Samsung’s success to the popularity of the Galaxy S7 and the S7 Edge. The International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker stated, “The new models proved to be the right mix of style and features and helped Samsung grow profits in the quarter. The inclusion of removable storage, waterproofing, and faster processor proved to be the winning combination for Samsung as consumers flocked to the new model.”
Samsung believes that many other factors contributed to their second quarter success. The company noted that there was a high demands for solid-state drives (SSDs), more shipments of OLED panels, and even solid demand for televisions despite a sluggish market. The South Korean currency was particularly strong this past quarter as well.
The company anticipates that the launch of the Galaxy Note 7 on August 2 will expand its profits even more. Samsung also intends to increase sales of the Galaxy A Series, J series and the Galaxy C series that is exclusively for the Chinese market. The company plans to do all of this despite the likelihood that expenses will go up.
You can check out our reviews of the Galaxy S7 and S7 Edge here.