Featured Articles

IHS teardown reveals Galaxy S5 BOM

IHS teardown reveals Galaxy S5 BOM

Research firm IHS got hold of Samsung’s new flagship smartphone and took it apart to the last bolt to figure out…

More...
Galaxy S5, HTC One M8 available selling well

Galaxy S5, HTC One M8 available selling well

Samsung’s Galaxy S5 has finally gone on sale and it can be yours for €699, which is quite a lot of…

More...
Intel lists Haswell refresh parts

Intel lists Haswell refresh parts

Intel has added a load of Haswell refresh parts to its official price list and there really aren’t any surprises to…

More...
Respawn confirms Titanfall DLC for May

Respawn confirms Titanfall DLC for May

During his appearance at PAX East panel and confirmed on Twitter, Titanfall developer Respawn confirmed that the first DLC pack for…

More...
KFA2 GTX 780 Ti Hall Of Fame reviewed

KFA2 GTX 780 Ti Hall Of Fame reviewed

KFA2 gained a lot of overclocking experience with the GTX 780 Hall of Fame (HOF), which we had a chance to…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Tuesday, 07 January 2014 12:30

Samsung braces for bad year

Written by Nick Farrell



But it is nothing to do with Apple

Samsung is preparing for its weakest smartphone profit growth this year. The Tame Apple Press claims, against all evidence that this is because Jobs’ Mob is going to take control of the Chinese market. This is pants as Apple is vying for the expensive end of the Chinese market which is tiny. Besides, Samsung is a lot more popular in China after Apple’s anti-consumer antics were outted by a government watchdog.

 

However saner heads suggest that it is more likely that Samsung’s woes are nothing to do with Apple getting a contract to sell though one of Chinas biggest phone operators. The real fact is that Samung is suffering from the The won's rise to a five-year high against the US dollar. This is because the value of Samsung's earnings are cut. A strong won is particularly troublesome for Samsung's components business, which generates around 30 percent of overall operating profit, because it primarily settles accounts in dollars, analysts said.

Samsung's brightest spot is its semiconductor unit, which brings in 20 percent of operating profit, and which enjoys growth estimates of around 42 percent this year. Overall operating profit growth for 2014 is likely to be 6.2 percent, the slowest pace in three years, according to Starmine.

Operating profit at Samsung's mobile devices division is likely to grow by a low single digit or to shrink mildly in 2014, after increasing in size by eight times over the past five years, according to a Thomson Reuters' Starmine SmartEstimate of 23 analysts.

Last modified on Tuesday, 07 January 2014 12:36

Nick Farrell

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

To be able to post comments please log-in with Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments