Samsung on Thursday reported lower than expected second quarter profit results, claiming April-June quarter to be the worst in last two years.
Attributing the drop in profits to slow smartphones and tablets global sales and increase in marketing expenditure to reduce inventory, Samsung said it is uncertain if revenue from its handset business would show signs of improvement in the current quarter.
Despite disappointing results, the Korean Electronics giant said it is hoping to make a comeback with the launch of a new range of devices over the next few months.
Kim Hyun-Joon, senior vice president at Samsung, told investors during the conference call, that 2 new devices are in the pipeline for launch in the coming months, while one model will feature a large screen, the other will be made using “new materials.”
Although Kim did not elaborate much on the design, he said the first of the two will be a large-screened smartphone, expected to be the new Galaxy Note Phablet, due for launch at IFA this year. On the other hand, the second one will be “a very attractive new model that uses new materials and new displays.”
As far as financials are concerned, Samsung reported a net income of 6.3 trillion won ($6.1 billion), down 20 percent, as compared to 7.8 trillion won recorded a year earlier. The company’s global market share fell to 25 percent from 32 percent.
