Despite the launch of its Galaxy S 5 smartphone being just days away, Samsung is forecasting a declining operating profit for the second consecutive quarter. By no means, though, is Samsung doing financially poor. It is just a sign that the company should move its focus to other areas aside from smartphones and a crowded field of tablets that are wildly overpriced. The estimate for the operating profit this quarter, the first of 2014, is $7.8 billion to $8 billion. A hindrance for Samsung may have been the issues releasing the device in South Korea due to carrier punishments, although one carrier jumped the gun regardless.
Later this month, Samsung will reveal its final earnings. That should be the true indicator for Samsung’s quarterly performance.
Source: The Wall Street Journal