Amid Quarrels, Samsung and Apple Both Stung By Huawei
Samsung Electronics Co. Ltd.’s (SSNLF.PK) Q2 earnings, which were released Tuesday, were lower than the company initially expected, according to Reuters. The consumer electronics company expected higher earnings during the second-quarter due to a pick up in sales of high-end televisions and smartphones. This marks the company’s second straight quarter of less-than-stellar quarterly profits, and this year is the first year that Samsung has reported a loss in smartphone profits.
Still, the company is optimistic that sales of pricier televisions and smartphones will be driven higher by soccer’s World Cup in Brazil, which will create a renewed demand for the products in the current quarter. “Orders for display panels that are used for premium smartphones and TVs are expected to increase, as new mobile devices are rolled out onto the market and consumers look forward to the upcoming World Cup in Brazil,” Sasmung said in a statement.
Analysts, however, aren’t quite so optimistic. “Their handset shipments guidance suggests there will be low single-digit growth for smartphone shipments for the second-quarter, which I think might be below street expectations,” said Maybank Kim Eng analyst Warren Lau, per Reuters.