Over the years, Samsung has been able to repeat its success through its line of Galaxy devices. More and more people are now gravitating towards the South Korean tech company’s flagships because the company has always been bullish in innovating the smartphone industry. It’s no wonder why both the Samsung Galaxy S7 and the Galaxy S7 Edge have been the devices of choice for power users that look for flagship-grade performance as well as new and groundbreaking innovations in the world today.
According to new reports, the Samsung Galaxy S7 flagship smartphone has been the strong driving force of the company for its profits. The electronics giant recently announced its earning for the first quarter of this year, and it looks like Samsung has surpassed expectations. By the numbers, Samsung managed to make AU$7.65 billion (US$5.83 billion) revenue in operating profits as well as AU$57.05 billion (US$43.46 billion) in revenue for the first quarter of 2016. According to Samsung, the growth of profit was driven by the “early launch and successful sales” of the company’s latest flagship pair, the Galaxy S7 and the Galaxy S7 Edge. The increased sales of OLED panels, as well as a much stronger operation in its semiconductor business also contributed to the overall profit.
However, the company anticipates that the demand in the smartphone market will be softened while the tablet market will also see a decline. Samsung plans to reinforce its leadership in the high-end segment through its latest flagships, but the company says that it will still continue to increase the volume and improve its profitability in the midrange to entry-level spectrum.
“Digital appliance demand is expected to rise due to seasonal growth for air conditioners, despite global market uncertainties. Against this backdrop, Samsung aims to increase profitability by expanding sales of innovative premium products such as a newly launched air conditioner and Family Hub Refrigerator. Additionally, the company expects to improve performance by expanding its enterprise business including built-in kitchens and system air conditioners,” wrote Samsung in a press release.