Feeds

Investors: Oh Samsung. You need to smash those records HARDER

Quarterly forecast misses expectations

Security for virtualized datacentres

Samsung's estimates for its second quarter earnings missed forecasts, worrying investors despite the fact that it will be another record-breaking quarter at the firm.

The Korean chaebol said that it expected operating profit of between 9.3tn South Korean won (£5.4bn) and 9.7tn won (£5.6bn), up eight per cent on the previous quarter and nearly half as much again as the previous year.

But the high earnings still weren't as lofty as analysts surveyed by Bloomberg had wanted to see. The number-crunchers had hoped to see the Korean tech overlords predicting operating profits of 10tn won (£5.8bn)

Samsung has seen its shares drop 15 per cent since early last month as analysts and brokerages worry about how many new Galaxy S4 mobes the company is selling. Smartphones make up 70 per cent of the giant firm's profits and these concerns have knocked a whopping $29bn off the firm's market value.

As well as worrying about Sammy's top-of-the-range phones, market watchers are also concerned that low-cost mobes from Chinese rivals like Huawei are eating into the firm's bottom line. Unlike its main rival Apple, Samsung has a range of devices, including budget models.

Apple has also seen its stocks fall, losing 40 per cent since their peak last September. Both firms' spectacular growth has ended up working against them as investors became accustomed to them smashing growth records, and became cautious when growth slowed from the incredible to the merely awesome.

Although Samsung relies on smartphones heavily, analysts are expecting the firm to see a small jump in its chip business later this year after producers held back on supply to try to combat falling memory prices. ®

Protecting against web application threats using SSL

More from The Register

next story
Brit telcos warn Scots that voting Yes could lead to HEFTY bills
BT and Co: Independence vote likely to mean 'increased costs'
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
New 'Cosmos' browser surfs the net by TXT alone
No data plan? No WiFi? No worries ... except sluggish download speed
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Blockbuster book lays out the first 20 years of the Smartphone Wars
Symbian's David Wood bares all. Not for the faint hearted
Bonking with Apple has POUNDED mobe operators' wallets
... into submission. Weve squeals, ditches payment plans
This flashlight app requires: Your contacts list, identity, access to your camera...
Who us, dodgy? Vast majority of mobile apps fail privacy test
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.
Protecting users from Firesheep and other Sidejacking attacks with SSL
Discussing the vulnerabilities inherent in Wi-Fi networks, and how using TLS/SSL for your entire site will assure security.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.