LG Elec says Q1 operating profit likely up 82 pct y/y

Adjust Comment Print

According to Samsung, operating profit for the first three months of this year is estimated at 9.9 trillion won ($8.7 billion), up 48 percent from a year earlier.

Samsung shares touched a record high of 2.134 million won in late March on expectations of record earnings in 2017, as limited production capacity for the memory chip industry and growing demand for more firepower from devices such as smartphones and servers push up margins.

LG said its January-March operating profit was $812.62 million and the highest since the second quarter of 2009.

Nevertheless, the latest financial figures show how Samsung has managed to overcome all the obstacles after messing up with one of its flagship products past year. The refurbished variant of last year's Galaxy Note 7 will carry the model number SM-N935 and it will arrive to a number of markets, but not the US.

Amid the company's struggle with the Note 7, Samsung's vice chairman was embroiled in a political scandal facing charges, including bribing ousted South Korean President Park Geun-hye.

USA top diplomat warns of Iran 'provocations'
Obama argued the deal was narrowly tailored to prevent what he said was the imminent emergence of a nuclear-armed Iran . And he said the United States wanted to change course before Iran became a "second piece of evidence" for this.

This means Samsung may have achieved that nearly 50 percent operating profit increase despite its Q4 2016 Galaxy Note flagship being dropped, the Galaxy S7 coming in Q1 last year (just) and the Galaxy S8 coming in Q2 this year, and its boss being recently arrested.

Samsung's reputation took a bigger hit as a result of a corruption scandal which has gripped the company and South Korea.

Samsung has been facing various challenges since a year ago, including the suspended production of the Galaxy Note 7 phablet and the arrest of the firm's de facto head Lee Jae-young in line with the corruption scandal that led to the ouster of South Korea's president. Samsung smartphone sales fell in the third quarter of 2016 by 14.2 percent year over year, making it the company's worst performance ever.

Lee was arrested in February and appeared in a Seoul court on Friday. Some say the S8 could set a new first-year sales record. He and Samsung have denied wrongdoing.