Menu
Samsung forecasts operating profit drop in fourth quarter

Samsung forecasts operating profit drop in fourth quarter

The company's revenue is expected to be marginally higher than a year ago

Samsung Electronics has given guidance that its operating profit in the fourth quarter of 2013 is likely to be down from the same quarter a year ago, although sales may have grown marginally.

The company issued the guidance ahead of full results later this month.

Samsung said Tuesday that it expected operating profit in the fourth quarter to be 8.3 trillion Korean won (US$7.8 billion), down from 8.84 trillion won in the same quarter last year.

Revenue is expected to go up to 59 trillion won from 56.06 trillion won a year earlier, the company said.

The South Korean company shipped 117 million mobile phones in the third quarter for a leading market share of 25.7 percent to Nokia's 13.8 percent share and Apple's 6.7 percent, research firm Gartner reported in November. But there have been concerns that increased competition has put pressure on the company's margins.

Competition from Apple is building up, for example, in China where Apple has signed up the largest mobile carrier, China Mobile, to offer the iPhone, and in Japan where NTT DoCoMo, the largest mobile service provider in the country, also started offering the Apple iPhone in September. Samsung also faces competition from low-cost local players in large mobile phone markets like China and India.

Samsung continues to roll out new products, including a smartwatch and new tablets to stay ahead of competition from Apple and other companies.

The company said revenue for the fourth quarter would be in the range of 58 to 60 trillion won, while operating profit would be in the 8.1 to 8.5 trillion won range.

Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Tags business issuesconsumer electronicssmartphonesSamsung Electronicshardware systemsMobile OSestabletsfinancial resultsmobileAndroid tablets

Slideshows

Top 50 defining moments of the New Zealand channel in 2016

Top 50 defining moments of the New Zealand channel in 2016

Reseller News looks back on a tumultuous 12 months for the New Zealand channel, assessing the fallout from a year of sizeable industry change. Whether it be local or global mergers and acquisitions, distribution deals or job changes, the channel that started the year differs somewhat to the one set to finish it - Reseller News assesses the key moments that made 2016.​

Top 50 defining moments of the New Zealand channel in 2016
​Hewlett Packard Enterprise honours high achieving NZ channel

​Hewlett Packard Enterprise honours high achieving NZ channel

Hewlett Packard Enterprise honoured its top performing Kiwi partners at the second running of its HPE Partner Awards in New Zealand, held at a glitzy ceremony in Auckland. Recognising excellence across eight categories - from distributors to resellers - the tech giant celebrated its first year as a standalone company, following its official split from HP in 2015.

​Hewlett Packard Enterprise honours high achieving NZ channel
Nutanix treats channel partners to Christmas cruise

Nutanix treats channel partners to Christmas cruise

Nutanix recently took to the seas for a Christmas Cruise around Sydney Harbour with its Australia and New Zealand staff, customers and partners to celebrate a stellar year for the vendor. With the sun out, they were all smiles and mingled over drinks and food.

Nutanix treats channel partners to Christmas cruise
Show Comments