Samsung has announced the financial result for the first quarter ending March 31, 2012. According to it, Samsung posted a revenue of 45.27 trillion won, a 22 percent increase YoY with consolidated operating profit reaching an all-time high of 5.85 trillion won (98 percent increase YoY) and consolidated net profit at 5.05 trillion won.
Samsung says their last quarter saw a seasonal decrease in sales of semiconductor and TVs but the high sales of smartphones and display panels helped to achieve record quarterly profit.
Samsung also gave a breakdown and guidance for next quarter on its various businesses.
Semiconductors:
Samsung’s Semiconductor business that includes the memory and System LSI division posted an operating profit of 760 billion won with revenue decreasing by 13 percent year-on-year to 7.98 trillion won.
As for the upcoming quarter, Samsung expects the HDD demand to be stable and DRAM products will be strong, however, there will be a decline in the price due to competition.
Display Panel Business:
The Display Panel business has swung to profit after facing a loss last quarter. The business registered an operating profit of 280 billion won on revenue of 8.54 trillion won.
Samsung expects the monitor panel demand to remain stagnant but have a rise in the demand for tablet, notebook panels along with TV panels due to the upcoming Olympics and Chinese Labor Day sales.
IT & Mobile Communications:
Samsung phones have been enjoying a decent amount of success and it reflects on the financial result as well. The IT & Mobile Communications division recorded a operating profit of 4.27 trillion won with revenues reaching 23.22 trillion, including 18.90 trillion won from the mobile unit.
Samsung is banking a lot on the upcoming Galaxy device for the next quarter.
Visual Display and Digital Appliances:
This business posted an operating profit of 530 billion won, a whopping increase of 550 percent YoY on revenues of 10.67 trillion won.
As for the Q2, Samsung expects a single digit growth for flat panel TVs whereas LED TVs taking about 60 percent in the TV market. Digital appliances may get a push in emerging markets.
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