The pressure on Samsung grows. A few days after the announcement of disappointing quarterly results seeping through now that the South Korean tech giant has corrected the pre-orders for its flagship Galaxy S5 down significantly – Samsung’s smartphones lose its appeal
From here on. down. For months now, something like the perfect storm against the still by far the largest smartphone manufacturer in the world brewing. At the end of last year, group patriarch Lee Kun-hee had joined in a multi-day crisis meeting at a turning point, which seems to have now but completed faster than had been assumed of the year.
Even the first quarter figures for the year, the the end of April were published, irritated: Paragraphs were again increased to 89 million units sold visible, but the profits slipped. The figures presented this week for the second quarter made now in far greater clarity than expected the new problems Samungs visibleturnaround with Galaxy S5. Rugged but no breakthrough sales
While sales dropped by 10 percent to $ 51 billion, profit fell by 24 percent a amazing to 7.1 billion dollars. Analysts had still expected profits in the amount of $ 8,000,000,000. For as little as for years the most valuable company in Korea earned in a quarter not more – and that calculated in the three-month period in which the flagship Galaxy S5, which lay a solid, but not outstanding launch, was launched
. Remarkably, the zenith seems exceeded while smartphone sales: After 89 million units in the previous quarter Samsung began in the last quarter now “only” 78 million pieces from; in the same period last year there were 72 million piece
EDN:. Samsung Galaxy S5 reduced production by 30 percent
In the current quarter, the downward trend now seems to unrestrained . accelerate As the Chinese Economic Daily News (EDN) report, Samsung has moved back just the components for the Galaxy S5-production dramatically from 21 million in the previous quarter to now only 15 million units – representing nearly 30 percent less in the previous quarter, in the Samsung alone 20 million units of its new flagship in 25 days sold. The pre-orders for the previous model Galaxy S4 were reduced from 6 to 5 million units.
That Samsung in the quarter in which Apple’s long awaited iPhone launches 6, is struggling with losses, had been expected. However, given the increasing competition from mainland China in the form of Xiaomi seems to attract the negative growth momentum. The trend is now working against Samsung.
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