Samsung’s quarterly results are in, and the results, especially for the company’s mobile division, are not good.
Samsung’s revenue in the second quarter of 2015 was 48.54 trillion won ($41.7 billion), with profit being 6.9 trillion won ($5.87 billion) — an increase over last quarter, but a 7 and 4 percent year-over-year drop, respectively.
The company’s mobile division turned a profit of 2.76 trillion won ($2.35 billion), a steep drop over last year’s Q2 profit of 4.42 trillion won ($3.76 billion). Samsung attributes this to declining shipments of older mid- and low-range models, marketing expenditures and failing to meet the market demand for its Galaxy S6 Edge. While that sounds like a good problem to have, Samsung expects the smartphone market’s growth to slow down in the second half of 2015, which is why it will “flexibly adjust” the prices of its Galaxy S6 and S6 Edge — presumably meaning a price drop.
More good news is on the way for fans of Samsung phones. In its earnings report Thursday, the company also said it will launch “a new model with a larger screen.” Rumors say this device is the Galaxy S6 Edge Plus, which will have a larger, 5.7-inch screen curved on both sides.
Samsung recently sent out an invite for an Aug. 13 event in New York. Besides the S6 Edge Plus, the company is expected to announce an all-metal Galaxy Note 5 as well.
On the tablet front, Samsung expects negative growth ahead, but hopes its Galaxy Tab A, as well as an entirely new product, can shift the tide in its favor.
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Source: Mashable