Samsung Electronics' revenue and operating margin for the June quarter were KRW 172 billion and 52%, up 28% and 944 basis points sequentially. Shares closed flat.
Consistently growing demand from increasing penetration of electronic devices and device memory content will drive long-term growth in Samsung’s memory business.
Bears
Competition in the android smartphone market has spiked dramatically, with new players offering devices with similar capabilities to Samsung at lower prices. Samsung’s market share and margins appear vulnerable.
Samsung Electronics is a diversified electronics conglomerate that manufactures and sells a wide range of products including smartphones, televisions, home appliances, telecommunications network equipment, as well as electronic and device components such as semiconductors and flat panel displays. Samsung is the world's largest manufacturer of smartphones and televisions as well as memory semiconductor products. The Manufacturing and sale of mobile phones and semiconductors make up >70% of both the company’s revenue as well as its profit.