Thursday, October 6, 2011

Samsung Forecasts Plunge In Profits

Samsung Electronics has predict a plunge in increase is to third entertain among descending urge for flat-screen TVs and P.C. chips.

Samsung mentioned it approaching an working distinction of 4.2tn won ($3.5bn; 2.3bn) a 14% plunge from a year earlier.

However, compared to the formerly quarter, the projected distinction is up 12%.

Analysts mentioned Samsung's handset business had helped cancel out the falls elsewhere.

"Its telecommunications business is seen really certain as shipments of smartphones and other high-end handsets expanded," mentioned Park Jong-Min of ING Investment Management.

Analysts mentioned they approaching Samsung's handset business to keep flourishing robustly, not smallest due to the Apple's preference to ascent its existing model of iPhone4 with new features and technology, rsther than than launch a new version.

Apple had been approaching to launch an iPhone5 at a media eventuality hold progressing this week.

"Given Apple's comparatively unvaried new iPhone, Samsung will have the chance to eat in to Apple's marketplace share with its hardware rave and flourishing program power until next year," mentioned Jang In-Beom of Bookook Securities.

Samsung has moreover been flourishing its participation in the inscription Personal Computer market.

Last month the Korean wiring producer voiced that sales of the Samsung GALAXY S II had crossed the 10 million mark, doubling from 5 million in only 8 weeks.

Despite the confidence about the expansion promising of its handset business, analysts mentioned that outmost factors sojourn a large hazard to the firm in the partial to medium-term.

There have been concerns that a slack in the US joined with the continuing debt predicament in Europe might harm universal expansion and hole consumer demand.

"The macroeconomic incident will sojourn a leading danger for Samsung in the fourth quarter," mentioned Ahn Seong-Ho of Hanwha Securities.

At the same time, there are fears that sensitivity in the banking markets might moreover have a temperament on its earnings.

The Korean won has depressed as ample as 10% against the US dollar given the beginning of July.

A weaker won creates Korean products cheaper for unfamiliar buyers.

"The weakening won might have arrogant third-quarter profits," mentioned Kim Young-Chan of Shinhan Investment Corp.

However, Mr Kim updated the swap rate remained a hazard to Samsung as any liberation in the won would have a opposite effect.

No comments:

Post a Comment