Unsold S6 smartphones drag Samsung profits down
Samsung's profits fell by 4pc in the three months to June as the company failed to sell as many S6 smartphones as it predicted earlier this year. The fall in operating income represents the seventh straight quarterly decline for the Korean giant, as it struggles in retain top spot in the mobile phone market.
A spokesman for the company declined to comment on sales figures of the S6 handset in Ireland.
Production constraints for the company's more expensive S6 Edge curved model have led to shortages, trimming shipments of the device and leaving the company to rely more on its chip unit for earnings. Samsung didn't provide net income or details of division earnings today. Audited results are scheduled for later this month.
Samsung Securities last month lowered its shipment estimate for S6 models to 45m units this year from 50m previously.
Industry estimates put the company's total smartphone shipments at 78m units in the second quarter, down from 85m units sold in the previous quarter.