Samsung Electronics Co., Ltd. today announced revenues of 56.06 trillion Korean won (R457.61 billion) on a consolidated basis for the fourth quarter ended December 31, 2012, a 7-percent increase quarter-on-quarter. Consolidated operating profit for the quarter hit 8.84 trillion won (R72.16 billion), representing a 10-percent increase on-quarter, while consolidated net profit for the same quarter was 7.04 trillion won (R57,46 billion). The full-year 2012 operating profit was 29.
In its earnings guidance disclosed on January 8, Samsung estimated fourth quarter consolidated revenues would reach approximately 56 trillion (R456,10 billion) won with consolidated operating profit of approximately 8.8 trillion won (R71,67 billion). Highlighting the quarterly performance, Mobile Communications generated quarterly revenues of 27.23 trillion won (R189,21 billion), a 4-percent increase compared with the previous quarter. The growth was mainly driven by solid sales of Samsung’s GALAXY S III and GALAXY Note ll. All told, operating profit for IT & Mobile Communications, which encompasses four business units including Mobile Communications, was 5.44 trillion won (R44,31 billion) on revenues of 31.32 trillion won (R 255,09 billion).
“Despite uncertainties in Europe and concerns over the U.S. fiscal cliff creating a difficult business environment, we did our best this quarter to achieve strong earnings based on a strategic focus on differentiated and high value-added products as well as our technological competitiveness,” said Robert Yi, Senior Vice President and Head of Investor Relations. “Heading into this year, we are expecting a slow recovery in the component business due to reduced capital expenditures, while competition in the set business will intensify further as demand slows and the mid- to low-end market expands,” he added. Mr. Yi also expressed caution over the continued strength of the Korean won in 2013. (more…)