Samsung Announces Earnings Guidance
Samsung Electronics announced its earnings guidance for the second quarter of 2015, which shows a weaker-than-expected second-quarter earnings, as a supply shortage plagued the launch of the flagship Galaxy S6 smartphone. The guidance suggests that Samsung will struggle to replicate the growth it recorded at the turn of the decade.
Operating profit for the second quarter likely fell 4 percent from a year earlier to 6.9 trillion won ($6.13 billion), Samsung said in a filing, its best profit in four quarters but also the seventh straight period of annual decline.
Revenue for the quarter would fall 8.3 percent from a year earlier to 48 trillion won. The company gave no other specifics and is expected to report its full results in late July.
A failure to make enough curved-screen S6 edge models to meet demand likely hurt mobile-related earnings, analysts believe.