August 1, 2014
As Financial Figures Fail to Impress, Company Discusses Competing in Market
Two new smartphones and enhanced wearables could be Samsung’s ticket to address less-than-impressive financial figures.
Competition punched Samsung’s ticket as, Thursday, the company announced its first year-over-year drop in net profit in almost three years in the second quarter. Net profit, in the second quarter, fell 19.6 percent to $6.1 billion . Revenue fell 8.9 per cent.
However, as CNet reported, those numbers took a backseat during a conference call where senior vice-president of Samsung’s mobile communications business, Hyun-Joon Kim, announced two new smartphones that should drop in the second half of this year.
One of these phones will be a “very innovative new product in the large-screen space” while the other device will be “a very attractive new model that uses new materials and new displays.”
There were very few other details provided.
Samsung, in a press release, recognized the tougher market it is competing in.
“Prospects for growth remain unclear as competition over global market share intensifies in the mobile industry,” the company said.
“Samsung expects to see its sales of mobile devices increase with the rollout of flagship products and new models, but profitability may suffer due to a heated race over price and product specifications.”
The company’s expectations for increase in sales with these new products could include the Galaxy Note 4, one of its new phablets.
Some speculate the other new product could be a metal Smartphone. Names, or suspected names, for the device have included Galaxy Alpha and Galaxy S5 Prime.
W. Brice McVicar is a staff writer for SiteProNews.