Samsung net income drops 18 per cent to £2.01bn


Korean manufacturer saw net income decline compared to record-breaking quarter a year ago, but strong sales of smartphones including the Galaxy S II helped boost revenue

Samsung Electronics reported a dip in net income for the quarter ending June 30, down 18 per cent to £2.01 billion, but reported a 4 per cent increase in revenue as strong smartphone sales compensated for slowing revenue from other electrical goods and semiconductors.

Though both net income and operating profit were down year on year, the same quarter in 2010 saw record performance from the company, and the latest results surpassed analyst expectations.

The South Korean firm sold 19.2 million smartphones during the quarter, overtaking Nokia but falling slightly short of Apple’s iPhone sales of more than 20 million. However, the firm has still failed to displace Nokia as the worlds largest handset maker overall.

Samsung has just announced that the white version of the Galaxy S II will be available in the UK from September 1. The firm recently revealed it had sold 3 million units of the Galaxy S II (pictured) since launching the device in May.

Samsung vice president and head of investor relations team Robert Yi said: “Despite the challenging business environment and global economic uncertainties, we achieved continued year-on-year revenue growth in the second quarter driven by mobile device sales, particularly the success of our smartphones.”

“Heading into the third quarter – which typically sees increased consumer demand for electronics – we expect competition to remain tight, and will continue to enhance our cost competitiveness and technology leadership in the components businesses.”