Expert View - Samsung posts record Q4 profit of $8.3 billion

SEOUL Tue Jan 8, 2013 9:51am IST

The company logo is displayed at the Samsung news conference at the Consumer Electronics Show (CES) in Las Vegas January 7, 2013. REUTERS/Rick Wilking

The company logo is displayed at the Samsung news conference at the Consumer Electronics Show (CES) in Las Vegas January 7, 2013.

Credit: Reuters/Rick Wilking

Related Topics



SEOUL (Reuters) - Samsung Electronics (005930.KS), the world's top maker of memory chips and handsets, estimated its October-December operating profit at a record 8.8 trillion won, as solid demand recovery in sleek flat screens used in mobile devices added to robust profit growth in smartphones.

Following are reactions from analysts and fund managers:


"Samsung shares will drop a bit in January, but rebound in February with expectations for the Galaxy IV, which is likely to be released in April or May.

"I don't think earnings will dip much in the first quarter and I expect operating profit to be around 8.5 trillion won. For the whole year (2013), I forecast operating profit to be 37.8 trillion won."


"Investors expected Samsung to post strong profit, and the guidance offers the opportunity for them to take profits.

"Investors are a bit concerned that Samsung's momentum may slow in the first half after posting a series of record profits. The smartphone market is unlikely to sustain its strong growth, as advanced markets are nearing saturation despite growth in emerging countries.

"This year, Samsung will cement its lead in smartphones. Eyes are on whether Apple will launch new models to grab more market share from Samsung, and Samsung will be able to play catch-up in the tablet PC market where it still lags Apple.

"Smartphones are a key profit driver for Samsung, and chips and other businesses are unlikely to post a strong recovery because of the weak global economy."


"I think Samsung's smartphone sales and profit growth rate will not slow this year. I expect its smartphone sales to reach 320 million and tablet PCs around 32 million, double last year's 16 million."

"Although the seasonal demand is weak in the first quarter, I expect Samsung's total sales will exceed 53 trillion won and operating profit to be around 8.3 trillion won because of demand for semiconductor and IT products. Sales this year are expected to be 230 trillion won and operating profit 37 trillion won."


"Both sales and operating profit were in line with market estimates. Samsung's fourth-quarter performance is seen owing a lot to its smartphone and tablet sales.

"This year, Samsung's earnings are expected to get better in the second half, while its share price is seen higher in the first half."


"Samsung's Note was selling well, boosting its fourth-quarter profit, while Apple's iPhone 5 sales were less than expected.

"Samsung's profit will drop in the current quarter because of decreased phone profits. Samsung will launch its next Galaxy S model only in March or April so without new models Samsung's phone sales prices will fall in the current quarter.

"For the whole year, Samsung will launch new models faster than Apple and will continue to have the upper hand in the smartphone market." (Reporting by Hyunjoo Jin, Joyce Lee, Narae Kim and Daum Kim; Editing by Ian Geoghegan)

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Wipro Results

People walk in the Wipro campus in Bangalore June 23, 2009. REUTERS/Punit Paranjpe/Files

Wipro sees rosier end to year as U.S. clients spend

India's third-biggest software services firm Wipro Ltd , under pressure to improve lacklustre sales growth, said it saw a rosier end to the year as more confident U.S. clients increase spending.  Full Article 

Reuters Showcase

New Email Service

New Email Service

Google launches new email service dubbed "Inbox".  Full Article 

Apple-1 Auction

Apple-1 Auction

Early Apple computer sells for $905,000 at auction.  Full Article 

No More Nokia

No More Nokia

Microsoft looks set to drop Nokia name from smartphones.  Full Article 

User Data Security

User Data Security

Apple CEO discusses security with top Chinese official amid hacking claims - Xinhua.  Full Article 

Patent Wars

Patent Wars

Big Tech winning battle with 'patent trolls'.  Full Article 

Record Season

Record Season

FedEx expects record peak volume of 22.6 million packages on Dec. 15.  Full Article 

Yahoo Earnings

Yahoo Earnings

Yahoo ekes out Q3 revenue gain despite display ad weakness.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage