Samsung expects 60 percent drop in profit for Q3 2014 - Polidicks

[QUOTE]Three months after warning that the second half of 2014 would "remain a challenge," Samsung announced Monday it expects a decline of nearly 60 percent in its operating profit for the third quarter of 2014, its fourth straight quarterly drop. The South Korean electronics giant said it expects to record an operating profit of 4.1 trillion won ($3.8 billion) for the quarter ended September 30, a 59.7 percent drop from the year-ago quarter. The company also said it expects sales for the quarter to come in around 47 trillion won, a 20 percent decline. The guidance, released before its full earnings report later this month, did not provide details of divisional earnings, but for the second quarter in a row, Samsung released "reference materials" to address concerns about the current state of the company. Smartphone shipments, which typically account for two-thirds of the Samsung's operating profit, increased marginally in the quarter, but margins were hurt by higher marketing costs and lower selling prices for the company's high-end handsets, the company said. Analysts had broadly expected the third quarter to be a tough one for Samsung -- with the company likely posting its biggest declines in about five years. They projected Samsung's operating profit would tumble about 42 percent to $5.9 trillion won ($5.52 billion) while its sales were expected to drop 14 percent to $50.9 trillion won ($47.6 billion), according to Thomson Reuters. "Q3 earnings is expected to be weak, brought down by poor performance in smartphones, with memory remaining the only strong point," noted Sanford Bernstein analyst Mark Newman. Samsung needs a jolt. The company -- the world's biggest smartphone vendor by a wide margin -- is being pressured in emerging markets by low-cost handset vendors such as Xiaomi and Huawei. It's also facing stiff competition from Apple in the market for pricey, high-end smartphones, especially since Apple in September launched two bigger screen iPhones. Of the five largest smartphone vendors in the world, Samsung was the only one that saw shipments fall year-over-year in the second quarter, according to IDC. And Fitch Ratings, a major credit rating agency in the US, predicted in mid-August that Samsung's global smartphone market share would fall to 25 percent in 2015 from 31 percent this year. Samsung admitted during its second-quarter earnings report in July that excess inventory in China and Europe caused device sales to slide and increased the amount it spent on marketing to counteract the issue. It also noted that its earnings were hurt by increased price competition, and it was hard to sell its older 3G phones in China as the country shifts to 4G LTE technology. Those factors contributed to a 30 percent drop in profits in Samsung's mobile division in the June quarter and caused the company to warn that the second half of 2014 would remain a challenge.[/QUOTE] [url]http://www.cnet.com/news/samsung-expects-60-percent-drop-in-profit-for-q3-2014/[/url]

That's what you get for making thousands of shitty quality phones and making lame jokes about your competitor.

[QUOTE=DrAkcel;46180588]That's what you get for making thousands of shitty quality phones and making lame jokes about your competitor.[/QUOTE] last time i checked the galaxy was not a shitty phone. this is probably just due to people buyng the shiny new iphone

[QUOTE=AJ10017;46180698]last time i checked the galaxy was not a shitty phone. this is probably just due to people buyng the shiny new iphone[/QUOTE] If you mean Galaxy Note or S series, then yes. But it's like they make a new Galaxy %letter% or Galaxy %word% phone every week without any changes between them.

Honestly I'd buy a galaxy if Samsung provided the same amount of support that Apple has It's what makes the iPhone 10x more appealing

Samsung is seriously floundering. people just have no interest in their phones

[QUOTE=fruxodaily;46180705]Honestly I'd buy a galaxy if Samsung provided the same amount of support that Apple has It's what makes the iPhone 10x more appealing[/QUOTE] Or at least removed their counter shit. Seriously, even HTC are not so douche about rooting anymore. And that says something.

I've always been a Samsung user, and just recently switched to a LG device, but let's be honest; their latest models of phones have been uninspiring as shit.

[QUOTE=DrAkcel;46180588]That's what you get for making thousands of shitty quality phones and making lame jokes about your competitor.[/QUOTE] I hate the company. But damn do they make some good hardware. Though I am thinking about going back to nokia for my new phone rather than getting another samsung phone. [QUOTE=DrAkcel;46180718]Or at least removed their counter shit. Seriously, even HTC are not so douche about rooting anymore. And that says something.[/QUOTE] Eh, no matter how hard samsung try you can always root your phone pretty easily.

[QUOTE=fruxodaily;46180705]Honestly I'd buy a galaxy if Samsung provided the same amount of support that Apple has It's what makes the iPhone 10x more appealing[/QUOTE] Amazing support - My phone bent in my backpocket. - You have been sitting wrong.

[QUOTE=thelurker1234;46180989]I hate the company. But damn do they make some good hardware. Though I am thinking about going back to nokia for my new phone rather than getting another samsung phone. [/QUOTE] Hardware - yes. But software... (that they are not even allow to change without penalty of voiding warranty) [QUOTE=thelurker1234;46180989] Eh, no matter how hard samsung try you can always root your phone pretty easily.[/QUOTE] Most of root methods trigger KNOX, and bye-bye free replacement in case of hardware flaw. Also, region SIM-lock was a wrong move too.

[QUOTE=fruxodaily;46180705]Honestly I'd buy a galaxy if Samsung provided the same amount of support that Apple has It's what makes the iPhone 10x more appealing[/QUOTE] Get a Nexus if you care about support. You'll save about $300-$450 too.

[QUOTE=Korova;46181016]Get a Nexus if you care about support. You'll save about $300-$450 too.[/QUOTE] You do get less powerful hardware, but pretty much using the same money you can buy another nexus next year, and then you'll be ahead of the galaxy people if they buy their phone every two years. There's also the moto x which is fantastic

[QUOTE=Korova;46181016]Get a Nexus if you care about support. You'll save about $300-$450 too.[/QUOTE] Three words. Google Play Edition.

[QUOTE=thelurker1234;46181029]You do get less powerful hardware, but pretty much using the same money you can buy another nexus next year, and then you'll be ahead of the galaxy people if they buy their phone every two years. There's also the moto x which is fantastic[/QUOTE] I've always found that if you buy the Nexus on the release date or close to it, you'll have top of the line hardware for that time. Now obviously the Nexus 5 is a bit outdated because it's almost 11 months old but the Nexus 6 specs look great. I think they're finally going to get the camera right this time. If not, I'll move over to the OnePlus One and try that out for a year. I trust the Cyanogen guys with the software. [editline]8th October 2014[/editline] [QUOTE=DrAkcel;46181031]Three words. Google Play Edition.[/QUOTE] I just can't justify $700 on a phone. I love HTC and I love the build quality of the M8 but I can't justify over twice the cost of a Nexus 5 simply to get SD card support, a slightly faster CPU/GPU and camera. Even if there's a debate on all that stuff, the OnePlus One is a bit better I've heard and that's $299

[QUOTE=fruxodaily;46180705]Honestly I'd buy a galaxy if Samsung provided the same amount of support that Apple has It's what makes the iPhone 10x more appealing[/QUOTE] Support for everything but the slightest bit of force.

Isn't apple support known to be shit? Or is that just for mac laptops.

I don't understand how to use Android and it just from a design angle imo makes no sense, which is why i'm not buying any phone not made by Apple.

[QUOTE=Best4bond;46181189]I don't understand how to use Android and it just from a design angle imo makes no sense, which is why i'm not buying any phone not made by Apple.[/QUOTE] You can make the UI look just like iOS you know.

[QUOTE=Best4bond;46181189]I don't understand how to use Android and it just from a design angle imo makes no sense, which is why i'm not buying any phone not made by Apple.[/QUOTE] Could you elaborate?

You mean all those "2smrt4u" commercials and advertisements didn't save your sales?

[QUOTE=Best4bond;46181189]I don't understand how to use Android and it just from a design angle imo makes no sense, which is why i'm not buying any phone not made by Apple.[/QUOTE] I think your reasoning is moronic and I'm even posting this from an iPhone Android isn't hard to use at all unless you lack common sense

EVERYONE BUY A GALAXY S5 AND MAKE THEM WRONG THAT'LL SHOW THEM

[QUOTE=DrAkcel;46180588]That's what you get for making thousands of shitty quality phones and making lame jokes about your competitor.[/QUOTE] Most of the 'shit quality' phones are made because people cannot afford the high end models. In the US, there are many different networks, quite a few require slightly different phones to work between them. That is what makes up the many lower end phones. My first smartphone was a Galaxy Precedent. Low end, low power, but reliable. After two years, the reliability made me stick with Samsung. i upgrade to an S2 i777. 8 months later, had the cash for a Galaxy S3. Now, I am expecting my new Galaxy S4 Active to be delivered any moment.

[QUOTE=AJ10017;46180698]last time i checked the galaxy was not a shitty phone. this is probably just due to people buyng the shiny new iphone[/QUOTE] Let's be honest: TouchWiz is a pile of trash.

[QUOTE=CakeMaster7;46181343]I think your reasoning is moronic and I'm even posting this from an iPhone Android isn't hard to use at all unless you lack common sense[/QUOTE] Pretty sure he was being satirical but everyone here is too autistic to notice.

[QUOTE=.Lain;46180708]Samsung is seriously floundering. people just have no interest in their phones[/QUOTE] While I think Samsung may not be as popular as they were, it's also because of some competition in emerging markets - Samsung shipped a lot of phones that way. Their new A devices look really cool, though, seriously the first good design I've seen from Samsung in a while.

[QUOTE=FordLord;46183555]Most of the 'shit quality' phones are made because people cannot afford the high end models. In the US, there are many different networks, quite a few require slightly different phones to work between them. That is what makes up the many lower end phones. My first smartphone was a Galaxy Precedent. Low end, low power, but reliable. After two years, the reliability made me stick with Samsung. i upgrade to an S2 i777. 8 months later, had the cash for a Galaxy S3. Now, I am expecting my new Galaxy S4 Active to be delivered any moment.[/QUOTE] I have nothing against low-end phones, but let's face it - Samsung have loads. No, LOADS of phones that are almost not diffirent in specs. Hell, they even managed to sell a few models that were absolutley the same as other ones, the only diffirence was version of OS. And yes, TouchWiz, which was tolerable on 4.0.4 and 4.1.2, but later became the annoyance. I liked my SII too, damn, I still would buy a phone like this, but with bigger battery and better screen resolution. After that - only dissapointment.

[QUOTE=thelurker1234;46181208]You can make the UI look just like iOS you know.[/QUOTE] Or you could buy an Iphone!

[QUOTE=Best4bond;46181189]I don't understand how to use Android and it just from a design angle imo makes no sense, which is why i'm not buying any phone not made by Apple.[/QUOTE] What's to understand? That's such a weak excuse. If my grandfather can learn so can you.