Samsung 2013 Q2 earnings show 9% growth while mobile division profits drop

Jul 25, 2013
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Samsung 2013 Q2 earnings show 9% growth while mobile division profits drop

Samsung has released its second quarter earnings report for 2013, showing an overall increase in sales, but with one hiccup in tow: a 3-percent drop over the previous quarter in its operating profit for its IT and Mobile Communications division. The sales numbers come in at 57.46 trillion won, which works out to about $51 billion USD.

The sales represent a 9-percent increase over the first quarter of this year, which came in at 52.87 trillion won, both of which trumped 2012's Q2 sales of 47.60 won. The operating profit, meanwhile, was 9.53 trillion won for this quarter, which works out to about $8.5 billion USD. This was also a 9-percent jump over Q1, which came in at 8.78 trillion.

The sales numbers are up across the board, with the slightest gain coming in the Semiconductor business at 1-percent from 8.68 trillion won over 8.58. The largest gain came in the Display Panel business, which saw a quarter-on-quarter increase of 15-percent from 7.11 trillion won to 8.18 trillion. While the numbers went up for the year, both are still down compared to 2012 Q2's 8.25 trillion.

As far as Mobile business sales go, the sales increased 9-percent from 34.58 trillion over last quarter's 31.77, both being a large increase over 2012's 22.43 trillion. Operating profit shows a 3-percent drop for the IT & Mobile Communications division, however, at 6.28 under last year's 6.51, both of which still out pace 2012's 4.13 trillion won.

As we pointed out when the first round of numbers were made available earlier this month, the results fell short of what analysts had anticipated, and because of this Samsung took a small hit on its shares. While the mobile business did see a dip, the overall picture is far from grim, with both sales and operating profits increasing over the last quarter is all the other areas.

SOURCE: Samsung


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