Samsung Hints at Record High Profits in 2Q (EWY) (AAPL)
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Revenue Growth %: +11.2%
Financial Fact:
Net income: 13.08B
Today's EPS Names:
NED, OESX, WSTL, More
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Apple's (Nasdaq: AAPL) largest smartphone rival, South Korean company Samsung estimated its second-quarter operating profit at between $5.7 billion and $6.1 billion, a 79 percent jump from a year earlier. It will release a detailed earnings report later this month.
The increase in profit will be driven by Galaxy smartphone sales. Its mobile communications division is expected to account for 65 percent of its operating earnings. The South Korean company's guidance pointed to second quarter revenue of between 46 and 48 trillion won, below the average market forecast of around 50 trillion won. As a result, Samsung shares closed 2 percent lower in Seoul, while the broader Kospi benchmark fell 0.9 percent.
Analysts forecast that Samsung will outdo previous performance and set a fresh record for the quarter because of strong Galaxy smartphones sales.
Ongoing suits by Apple, less than stellar sales of TVs and PCs, and the effects a weakening global economy could have on smartphones sales are a few headwinds faced by the company.
Shares of Samsung account for 21.5 percent of the MSCI South Korea Index Fund ETF (NYSE: EWY).
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The increase in profit will be driven by Galaxy smartphone sales. Its mobile communications division is expected to account for 65 percent of its operating earnings. The South Korean company's guidance pointed to second quarter revenue of between 46 and 48 trillion won, below the average market forecast of around 50 trillion won. As a result, Samsung shares closed 2 percent lower in Seoul, while the broader Kospi benchmark fell 0.9 percent.
Analysts forecast that Samsung will outdo previous performance and set a fresh record for the quarter because of strong Galaxy smartphones sales.
Ongoing suits by Apple, less than stellar sales of TVs and PCs, and the effects a weakening global economy could have on smartphones sales are a few headwinds faced by the company.
Shares of Samsung account for 21.5 percent of the MSCI South Korea Index Fund ETF (NYSE: EWY).
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