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Samsung profit slides for second straight quarter in Q1


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Guest Tero Kuittinen
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Samsung is wrestling with the same headwinds as Apple: slowing global smartphone volume growth and falling prices. Bloomberg reports that Samsung's unaudited results show a first-quarter drop in operating profit to 8.4 trillion won, or roughly $8 billion. That figure is down from 8.78 trillion won in the same quarter last year. This is the first time since 2011 that Samsung has delivered back-to-back profit declines in two consecutive quarters. The company is facing pretty stiff criticism over the launch of the Galaxy S5 in its home market of South Korea — the new model is regarded as too derivative and boring by many local observers. Samsung seems to be aware that S5 is not going to be a barn-burner though, and it opted to price the model about 10% lower than S4 one year ago.

 

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Via BRG - Boy Genius Report

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