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Samsung today announced its earnings for the first quarter of 2015, where it managed to earn an operating profit of $5.63 billion (KRW 5.98 trillion) on revenues of nearly $44 billion (KRW 47.12 trillion).
Despite an 11 percent decrease in revenue on a Quarter-on-Quarter basis, the company’s profit increased by KRW 690 billion.
The company’s handset division saw an increase in smartphones sales thanks to their new middle and low-end offerings, all the while reducing their marketing expenditure.
For the second quarter, Samsung expects the total smartphone shipment to remain the same despite the high demand for the Galaxy S6 and Galaxy S6 edge. This is because the company expects a dip in the sales of its middle- to low-end handsets. It also noted that its marketing expenses will increase due to the launch of its new flagships.
To further drive growth in 2015, Samsung will be strengthening its premium smartphone line-up, and will also offer streamlined products in the middle- to low-end segment.
In the last year, Samsung has lost a major chunk of its marketshare to Apple in the high-end and Chinese OEMs in the low-end. It will be interesting to see if the launch of the Galaxy S6 and “streamlined products” in the low- to middle-end market will help it in regaining some of its lost marketshare or not.
[Via Samsung]
