(MENAFN) Samsung's operating profits to hit 25 percent annually in the second quarter of 2014, as cheap Chinese devices and a strong won hammered down its share of the global smartphone market, The Peninsula Qatar reported.
Operating profit was estimated at USD7.1 billion for the April-June period, compared to USD9.41 billion a year ago - the South Korean electronic giant's third straight quarter of year-on-year decline. The Q2 operating profit was down 15.2 percent from the USD8.38 billion posted in the previous quarter.
The profit drop had been widely expected, but the forecast still missed collated analyst estimates.
Samsung did not provide net income or details of division earnings ahead of the official earnings report to be filed later this month. In an unusual move, the forecast was accompanied by an explanatory note that the company said was to "address market and investor concerns" prior to the audited earnings release. "The company witnessed a slowdown in the overall smartphone market growth and saw increased competition in the Chinese and some European markets," the note said.
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