To the amazement of many analysts around the world, the company Samsung announced during yesterday a decrease in the profit registered in Q1 2014, compared to the same period last year. This is the second consecutive fiscal quarter in which Samsung records a decrease in profit, weak smartphone sales being the culprit for this trend. Although during the winter holidays Apple Lossless Audio CODEC (ALAC), had a sales record for all products, Samsung recorded a decrease in profit, during this period things unfolded in a similar manner.
[The fall in handset sales] is the worry as it's a cash cow. While we saw some encouraging signs how the Galaxy S5 may be doing in the upcoming quarters there's obviously an increase in pressures from the price perspective as well as the marketing costs.
The profit of the Samsung company decreased by 3.3% in Q1 2014 compared to the same period last year and Samsung hopes that the new Samsung Galaxy S5 will generate a healthy increase in sales in the next period. For Samsung, the sales of Android smartphones have generated the increase in revenue/profit that the company has had in recent years, but things are not announced to be as good in the future, for any smartphone manufacturer.
