Samsung’s revenue is down 60 percent from one year ago
It’s not long ago when Samsung was boasting about record-breaking earnings and now the company issued guidance for its forthcoming Q3 2014 earnings. They told investors that they expect revenues of $3.8 billion for the quarter. This value is down 60 percent from the value we saw last year in the same period. Sales of about 47 trillion represented a 20 percent decline over the previous year.
Several analysts have foresaw a big blow to Samsung’s stay on the throne due to intense pressure on the high-end from Apple as well as major market share challenges of low-end phones especially when it come to other Chinese manufacturers. According to Bloomberg Samsung has to get ready for an “‘Ugly’ quarter as iPhones get bigger” in its pre-guidance analysis yesterday. Seoul-based analyst Song Myung Sup told the financial news service said
“We can’t really expect good news from Samsung’s mobile business this year. The most important thing for Samsung now is to protect its fast-falling market share, especially in China,” declared Claire Kim of Daishin Securities.
In just one year, sales have declined 20 percent
Samsung has been ready for this in June warned investors that it didn’t see a turnaround happening any time soon, although it remained carefully optimistic about the impact of sales from its forthcoming Galaxy Note 4 — and it’s only in next quarter’s earnings that we will find out how Samsung’s latest Note stands up to Apple’s iPhone 6 Plus.