Galaxy S7 sales boost Samsung's profits

Samsung has announced its earning for Q1 2016, in which the South Korean tech giant made operating profit of 6.68 trillion won ($5.81 billion), which is up 12 percent year-on-year. The company reported revenues of 49.78 trillion won ($43.46 billion), up 5.7 percent year-on-year and net profit of 5.25 trillion won ($2.7 billion), up 14 percent year-on-year.

Samsung's Mobile division posted 3.89 trillion won operating profit for the quarter up 42 percent compared to 2.7 trillion won in the same quarter last year, the highest since Q2 2014. The mobile division was the top earner for the very first time in two years, thanks to the sales of the company's flagship, the Galaxy S7.

The smartphone boasted of an improved camera, waterproof design and microSD card support, which was missing in last year's flagship, the Galaxy S6. Samsung also introduced Galaxy A & J series smartphone in this quarter which also helped to boost the sales of its smartphone business.

The company said the it will launch a new flagship device in the second half of 2016, which is likely to be the Galaxy Note6. The company is also expected to introduce a new C-series smartphone as well.

Samsung expects further sales growth for its Galaxy S7 series in Q2 2016, as well maintain profitability of mid-to-low tier Galaxy A & J series. It will also expand the Samsung Pay service to global markets and look into new business opportunities.  

Via