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.
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.