Mobile sales help boost Samsung out of recession


Mobile sales help boost Samsung out of recession

Warwick Ashford

Samsung Electronics predicts its second quarter operating profit will be more than five times that achieved in the first quarter of the year.

The South Korean maker of memory chips, LCD screens and mobile handsets said it expects an operating profit of between $1.74bn and $2.05bn in the April-June period.

>> See photos: Samsung Jet flies in <<

Samsung reported its first operating loss of $680m in the fourth quarter and suffered a 72% drop in first-quarter net profit from a year ago, according to the Financial Times.

Falling demand for PCs in 2008 hit several large chip manufacturers, including Intel, AMD, Texas Instruments and Samsung.

Analysts attributed Samsung's strong performance to good sales of its multimedia mobile handsets and LCD TVs, and the stabilisation of memory chip prices.

The good forecast issued today for Samsung's financial results to be announced on 24 July has boosted the firm's share price by at least 6% and prompted analysts to advise investors to buy shares.

Related Topics: Mobile hardware, VIEW ALL TOPICS

Email Alerts

Register now to receive IT-related news, guides and more, delivered to your inbox.
By submitting your personal information, you agree to receive emails regarding relevant products and special offers from TechTarget and its partners. You also agree that your personal information may be transferred and processed in the United States, and that you have read and agree to the Terms of Use and the Privacy Policy.

COMMENTS powered by Disqus  //  Commenting policy