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Samsung profits double to $5.15 billion in Q1 2012 as it overcomes Nokia to gain top OEM status

Ships over 90 million handsets

Samsung profits double to $5.15 billion in Q1 2012 as it overcomes Nokia to gain top OEM status
Further cementing its position at the top of the Android table, Samsung (005930.KS) has claimed strong sales of its smartphones are behind its record 5.85 trillion Won (around $5.15 billion) operating profit in Q1 2012.

That's up 98 percent year on year, with sales coming in at 45.27 trillion Won ($39.94 billion), up 22 percent from the same period in 2011.

Mobile matters

In all, Samsung's IT & Mobile Communications division accounted for 73 percent of the firm's total profit, almost tripling to 4.27 trillion Won ($3.77 billion).

That'a on revenue of 23.22 trillion Won ($20.58 billion), thanks to high sales of top performers the Galaxy Note and Galaxy S II.

"Despite difficult business environments including seasonal low demand for major products such as PCs and TVs amid a global economic slowdown, we achieved record quarterly results based on our differentiated products and technology leadership," said senior VP and head of investor relations Robert Yi.

"We cautiously expect our earnings momentum to continue going forward, as competitiveness in our major businesses is enhanced."

Samsung declined to reveal exact shipment figures for any of its handsets.

Reuters reports estimates are coming in at around the 90 million mark, while Strategy Analytics estimated it to be 93.5 million.

 

That puts the company ahead of Finnish giant Nokia on 82.7 million handsets shipped and Apple, which shipped more than 35 million iPhones during its last quarter.

All in the display

Also of note, Samsung's Consumer Electronics business – which encompasses its operations in the manufacture of virtual displays and digital appliances - registered an operation profit of 530 billion Won ($468 million), up 550 percent year on year.

"In the second quarter, market growth for flat panel TVs in the mid-single digits is expected on rising demand in emerging markets and increased sales of LED TVs which are forecast to account for over 60 percent of the TV market in the quarter," said the firm in a statement.

"In emerging markets, Samsung aims to expand its presence with region-specific LED TV models, while its range of Smart TV models with enhanced features will continue to maintain the company's leadership in developed markets."

Operating profit for Samsung's Display Panel Business hit 280 billion Won ($247 million) on revenue of 8.54 trillion Won ($7.56 billion) in the first quarter.

[source: Samsung (PDF)]

With a fine eye for detail, Keith Andrew is fuelled by strong coffee, Kylie Minogue and the shapely curve of a san serif font.