Samsung has announced its Q1 profits, and while it’s still down overall, the company has considerable reason for optimism.
The Korean company earned an operating profit of 6 trillion won (around £4 billion) for the period spanning January to March. That marks a sizeable increase from last quarter’s figure of 5.3 trillion won.
Compare Samsung’s figures to the same period last year, however, and the picture isn’t so rosy. In fact, it marks a drop in operating profit of some 39 percent.
Clearly Samsung’s mobile business in particular is coming under increased competitive pressure from Apple at the top and several Chinese companies at the bottom. As TechCrunch points out, the division’s operating profits dropped 57 percent year on year to 2.74 trillion won (£1.7 billion).
However, Samsung has at least been able to recapture the top spot as far as mobile shipments go, according to Strategy Analytics.
What’s more, Samsung has two major aces up its sleeve for the next quarter and beyond. The Samsung Galaxy S6 and Samsung Galaxy S6 Edge launched in April, which means its shipments will start counting from the next period – and business should be good. Samsung expects to sell 23 million of each high-end handset this year.
Read More: Galaxy S6 vs iPhone 6
While Samsung’s mobile sales have been underwhelming, its semiconductor business continues to do well. It made an operating profit of 2.93 trillion won (around £1.8 billion) from the division in Q1, which is up from 1.95 trillion won (£1.2 billion) during the same period last year.
The company’s display division is doing quite well, too, with a 520 billion won (£316 million) profit dwarfing last year’s 80 billion won (£49 million) thanks to an increase of interest inn UHD TVs.