Manufacturer forecasting Q2 profit of £5.39 billion, with estimated sales of its flagship Galaxy S7 smartphones hitting 15 million
Samsung Electronics is expecting profits of 8.1 trillion won (£5.39 billion) in Q2 – its highest quarterly gain in two years.
In earnings guidance released for the April-June period, the manufacturer has forecasted profit will rise 17.4 per cent from last year. This would represent its highest gain since the £8.5 trillion won reported in Q1 2014.
Revenues are expected to increased three per cent from 12 months ago to 50 trillion won (£30 billion), although Samsung did not provide specific divisional results. It will release its full financial report for the second quarter later this month.
It marks an upturn for Samsung this year. In Q1, revenues rose 5.7 per cent from a year ago to 49.78 trillion won (£29.96 billion), while profits increased 14 per cent to 5.2 trillion won (£3.16 billion).
Improved S7 performance
According to reports, this upturn will be driven by improved sales of its flagship Galaxy S7 smartphone line, which was unveiled at Mobile World Congress in February.
Last month, a report in the Korean Times claimed Samsung would sell 15 million units of the S7 and S7 edge combined compared to 10 million in Q1, citing industry sources.
It added the S7 edge – the more expensive of the two because of its curved touchscreen – would outsell its flat screen counterpart.