Samsung Posts Q4 2012 Results
Samsung today announced the financial results of fourth quarter ending that ended on December 31, 2012. Samsung posted revenues of 56.06 trillion Korean won, a 7 percent quarter-on-quarter increase whereas the consolidated operating and the net profit reached 8.84 trillion won, a 10 percent increase quarter-on-quarter and 7.04 trillion won respectively.
Samsung’s full year operating profit reached 29.05 trillion won on revenue of 201.10 trillion won.
Mobile Communications, was again the star business for Samsung Electronics with the high demand of devices like Galaxy S III and Galaxy Note II.
Samsung also posted figures of individual businesses which are as follows:
Samsung posted a consolidated revenue of 9.59 trillion won, a 10 percent increase on-quarter. The business maintained profitability despite having a weak market demand due to its portfolio of SSDs and NAND flash chips.
As for this quarter, Samsung expects the demand for chips to go down this quarter but may able sustain profitability.
The Display Panel business posted an operating profit of 1.11 trillion won on revenue of 7.75 trillion won. The business saw good sales in China and other developing economies.
For Q1 2013, Samsung expects the demand for 60-inch TV panels to rise along with the demand for tablet panels.
IT & Mobile Communications:
The IT & Mobile Communications division, comprising Mobile Communications, Telecommunication Systems, IT Solutions and Digital Imaging recorded a revenue of 31.32 trillion won, out of which 27.23 trillion won contributed from the mobile handset sales.
If Mobile Communications was able to keep the division in green, IT-related businesses was affected by aggressive pricing.
Coming quarter will see demand for mobile phones to decrease in developed countries whereas demand will increase in emerging countries due to launch of affordable handsets.
Consumer Electronics business consists of Visual Display and Digital Appliances that reached an operating profit of 740 billion won on revenues of 13.95 trillion won, a 20 percent increase on-quarter.
Samsung expects the demand for LED TV to be up in the first quarter but will have an off-peak seasonality overall. As for Digital Appliances, Samsung expects moderate growth in developing countries whereas low growth in developed countries.