Net profit Samsung Electronics in the II quarter of this year fell by 20% compared to the same period last year - to $ 6.1 billion (6.25 trillion won). This is stated in the report of the South Korean electronics manufacturer.
Samsung's revenue in the II quarter decreased by 8.9% - up to $ 52 billion (52.35 trillion won). Operating profit fell for the third quarter - its index fell by 24.6% and amounted to about $ 7 billion (7.19 trillion won).
According to Samsung, despite the fact that the demand for smartphones remained at the level of the previous reporting period, sales of these devices decreased. The company explains that "traditionally weak second quarter," the situation has not changed and the output flagship Galaxy S5, which was sold at the start better than its predecessor by 10%.Also, referred to a loss of $ 488 million due to the difference in exchange rates.
Success lineup of smartphones Samsung Galaxy became one of the main drivers of growth in recent years. However, increased competition in this segment of the market has led to the fact that sellers cut prices in order to attract more customers, and it puts pressure on their profit margin from agency.
Analysts believe that Samsung should reduce costs for sustainable profit growth. "What Samsung should do this year for the provision of additional growth, so it's a couple of things: cutting costs and reducing the cost of sales - says analyst HMC Investment and Securities Greg Rowe. - In a certain sense, Samsung is unable to prevent the fall of their revenue without improving internal efficiency. "
The second half of 2014 will be a challenging period for Samsung testing due to increased competition in the international market of smartphones and tablets. While the vendor remains the leader in the number of mobile devices shipped, but some Chinese manufacturers, in particular, Huawei, hot on his heels.