Samsung reported its best earning results in two years on Thursday as the company's Galaxy S7 phones outperformed all expectations, despite slowing growth in the overall smartphone industry (via The New York Times).

The South Korean company announced a 8.14 trillion won ($7.22 billion) operating profit on revenue of 50.94 trillion won ($45.2 billion), up 18 percent from the previous year.

samsung_logo
The firm's key mobile division, which accounts for more than half its revenue, experienced "substantial earnings improvement" as its high-end Galaxy S7 and S7 Edge phones enjoyed expanded sales, despite competition from Apple's iPhones and by lower-end devices from Chinese rivals like Xiaomi and Huawei.

Samsung forecast "solid" performance for the rest of the year despite increased competition as "other companies release new mobile devices", thanks to strong demand for its components, such as OLED displays, which the company expected to increase "substantially".

The company is also betting on an uptick in revenue generated by next week's unveiling of its Galaxy "Note 7" smartphone, which is thought to feature an edge-to-edge curved screen, an iris scanner, and potentially a USB Type-C port.


The good news for Samsung came two days after its arch-rival Apple revealed its second consecutive year-on-year declines in quarterly revenue and iPhone sales, although the reported dips were smaller than analysts predicted.

In stark contrast to the marked popularity of Samsung's high-end devices, Apple's lower-cost iPhone SE was the bright spot in the Cupertino company's earnings call, gaining more traction than expected and going some way to soothe investor's concerns over growth.

Prior to the earnings call, Apple stock had lost more than a fifth of their value over the year amid mounting concerns about the slowdown. Despite worries, Apple's shares jumped as much as 7.5 percent on news of its Q3 results, as investors remained optimistic in the run-up to the company's iPhone 7 launch this September.

According to a recent report by Kantar Worldpanel, Samsung’s Galaxy S7 devices accounted for 16 percent of mobile purchases made by U.S. customers this year, while only 14.6 percent opted for an iPhone 6S or iPhone 6S Plus.

Growth in the smartphone industry will slow to 3.1 percent this year, down from 11 percent last year and 28 percent in 2014, according to researcher IDC.

Tag: Samsung

Top Rated Comments

Benjamin Frost Avatar
65 months ago
Samsung is becoming the new Apple.

How times have changed.
Score: 19 Votes (Like | Disagree)
Dilster3k Avatar
65 months ago
Wow Samsung, now you're even copying Apple's sales.... Jeeeeeez
Score: 15 Votes (Like | Disagree)
Pagemakers Avatar
65 months ago
Who cares about Samsung?
I bet Nokia said that 10 years ago!
Score: 14 Votes (Like | Disagree)
BvizioN Avatar
65 months ago
Then Samsung appears to be doing something right!
Score: 11 Votes (Like | Disagree)
TechZeke Avatar
65 months ago
From all the reviews, Samsung made an excellent phone, and they were rewarded. This used to be what Apple understood. Make the best product you can make, and profits will follow.
Score: 11 Votes (Like | Disagree)
Chupa Chupa Avatar
65 months ago
It's irritating how good Samsung phones are. I can't switch from iOS because I rely too much on its services so I can only look on with envious eyes.
Freaks me out a bit to admit it, but yes. I'm not as reliant on services, but I am lazy in that I have my iOS devices set up perfectly for me and don't want to have to configure a whole set of new devices. Plus I do like the fact that iOS apps are sandboxed and given some scrutiny for "safety."

That said I don't think any Apple fan, or executive, can dismiss Samsung as in the recent past. It's just not credible anymore. And Samsung seems a bit more serious about it's smart home initiative too, something else that should worry Apple if it wants to be the hub of people's living rooms, as well as their pockets.

And with the iPhone 7 looking like a unappealing placeholder until Apple can get its act together for its top 2017 model, the Galaxy 7 just may hold the title as the most advanced phone on the planet and use it as an opportunity to steal less Apple service reliant users.
Score: 10 Votes (Like | Disagree)

Top Stories

REC ASA CODE2016 20160601 205816 2745

Elon Musk Reportedly Demanded to Become Apple CEO as Part of Potential Tesla Acquisition [Update: Musk Denies]

Friday July 30, 2021 9:04 am PDT by
Tesla CEO Elon Musk reportedly once demanded that he be made Apple CEO in a brief discussion of a potential acquisition with Apple's current CEO, Tim Cook. The claim comes in a new book titled "Power Play: Tesla, Elon Musk and the Bet of the Century," as reviewed by The Los Angeles Times. According to the book, during a 2016 phone call between Musk and Cook that touched on the possibility of ...
General Apps Messages

Android iMessage Competitor Puts Pressure on Apple

Friday July 30, 2021 3:15 am PDT by
Google and the three major U.S. carriers, including Verizon, AT&T, and T-Mobile, will all support a new communications protocol on Android smartphones starting in 2022, a move that puts pressure on Apple to adopt a new cross-platform messaging standard and may present a challenge to iMessage. Verizon recently announced that it is planning to adopt Messages by Google as its default messaging...
iPhone 13 Always On Feature

iPhone 13 to Bring Over a Major Feature From the Apple Watch

Wednesday July 28, 2021 2:21 am PDT by
Apple's upcoming iPhone 13 lineup will feature an always-on display akin to the Apple Watch Series 5 and Series 6, according to recent reports. In his weekly Power On newsletter, Bloomberg journalist Mark Gurman, who often reveals accurate insights into Apple's plans, said that the iPhone 13 may feature an Apple Watch-inspired always-on mode. The Apple Watch Series 5 and Apple Watch...
duracell battery bitter coating

Apple Says Don't Buy AirTag Replacement Batteries With Bitter Coating

Wednesday July 28, 2021 11:08 am PDT by
Since AirTags were just released earlier this year and are expected to have a year-long battery life, it may be some time yet before AirTag users need a replacement battery, but when the time comes for a refresh, Apple is warning customers not to buy batteries with a bitter coating. AirTags use coin-shaped CR2032 batteries, which happen to be a size that's easy to swallow. Some battery...
a15 chip

iPhone 13 and Redesigned MacBook Pro Chip Production Hit With Gas Contamination

Friday July 30, 2021 5:44 am PDT by
The most important TSMC factory that manufactures Apple's chips destined for next-generation iPhone and Mac models has been hit by a gas contamination, according to Nikkei Asia. The factory, known as "Fab 18," is TSMC's most advanced chipmaking facility. TSMC is Apple's sole chip supplier, making all of the processors used in every Apple device with a custom silicon chip. Industry...
apple rtp land

Apple Preparing to Occupy 200,000 Square Feet of Temporary Space Ahead of New $1 Billion North Carolina Campus

Thursday July 29, 2021 9:14 am PDT by
Back in April, Apple announced a $430 billion investment over the next five years to create more than 20,000 new jobs as the company continues to expand. One significant piece of that plan is a new engineering and research center in North Carolina where Apple will be investing over $1 billion and hiring at least 3,000 employees. Assemblage of seven properties in Research Triangle Park owned by ...
Apple Leak Feature

Apple Demands Leaker Reveals Sources Under Threat of Being Reported to Police

Wednesday July 28, 2021 6:53 am PDT by
Apple has sent a cease and desist letter to a leaker based in China as part of its continuing attempts to curtail leaks of unreleased products, according to Vice. A Chinese citizen who shared images of stolen Apple prototypes on social media was sent a warning letter from Fangda Partners, Apple's law firm in China, on June 18, 2021. An extract from the letter read:You have disclosed without ...
macos monterey tidbits feature copy

Apple Releases New macOS 12 Monterey Public Beta

Wednesday July 28, 2021 10:19 am PDT by
Apple today seeded the third public beta of the macOS 12 Monterey beta to public beta testers, allowing non-developers to test the new macOS Monterey software ahead of its public release. The third beta comes two weeks after Apple released the second macOS Monterey public beta. Public beta testers can download the macOS 12 Monterey update from the Software Update section of the System...
iOS 15 General Feature Purple

Apple Releases New Public Betas of iOS 15, iPadOS 15, watchOS 8, and tvOS 15

Wednesday July 28, 2021 10:16 am PDT by
Apple today seeded the third betas of iOS and iPadOS 15 to public beta testers, allowing non-developers to download and test the new updates ahead of their fall release. The third public betas come two weeks after Apple released the second public betas. Public beta testers who have signed up for Apple's beta testing program can download the iOS and iPadOS 15 updates over the air after...
nothing ear 1 buds 1

Nothing 'Ear (1)' True Wireless Earbuds Launch to Take on AirPods Pro With ANC and Unusual Design for $99

Tuesday July 27, 2021 7:57 am PDT by
Nothing, a new brand from OnePlus founder Carl Pei, has today officially launched the "Ear (1)" true wireless earbuds after months of anticipation around the company's AirPods Pro rival. The Ear (1) features an in-ear design, Active Noise Cancelation, Bluetooth 5.2, IPX4 water resistance, and a charging case with Qi-compatible wireless charging and a USB-C port. Fast pairing is supported on...