Galaxy phones drive Samsung to record profit again

SEOUL, South Korea—Samsung, the world’s largest technology firm by revenue, reported another record-high quarterly profit as customers flocked to Galaxy smartphones amid the absence of competitors, which helped the South Korean firm outdo rivals even at one of the most challenging times for the global tech industry. Samsung Electronics Co. said Friday its net profit reached a record-high of 5.2 trillion won ($4.5 billion) in the three months ending in June, a 48 per cent jump from a year earlier. But the bottom line was lower than a median market consensus of 5.6 trillion won based on a poll of seven analysts by Yonhap Infomax. Its second-quarter operating profit spiked 79 per cent over a year earlier to 6.7 trillion won and its revenue rose 21 per cent to 47.6 trillion won, matching Samsung’s guidance released earlier this month.

The operating profit, also at an all-time high, marked a 15 per cent rise from the previous quarter. Shares of Samsung opened 1.9 per cent higher in Seoul after the quarterly financial results announcement. Samsung, the world’s largest maker of mobile phones, televisions and memory chips, benefited from runaway demand for its Android-powered smartphones, as rivals including Apple were slow to release new models. Robust sales of Samsung’s high-end mobile gadgets, including the flagship Galaxy S3 smartphone, helped Samsung tide over a slowdown in other consumer electronics sectors such as televisions and personal computers that have been painful for its rivals and component suppliers. (AP)