At the beginning of the year, the CEO of Samsung announced its
willingness to reduce the manufacture of equipment for advancing research and
development. The last quarterly balance sheet explains this
statement. Even if Samsung turnover increases, it depends more and more its
flagship, the mobile phones sector.
The beginning of the year is an opportunity for the leaders of companies to
present their wishes and to announce their goals. Lee Kun - Hee,
Samsung's CEO, has not missed this tradition. The group, which a few years ago
was associated with household appliances, TVs and components, wants to change
its priorities. Indeed, the CEO wants to limit dependence on sales of
equipment and invest significantly more in research and development.
The Group has just published its balance sheet for the last quarter (closed
end of December) and he explains this desire to expand activities.
Samsung
has achieved a turnover equivalent to approximately 39.7 billion euros.
This result is a record, but the net income is declining. Thus, it
reaches about 4.9 billion euros. In question loads and heavier
spending.
Among its business lines, mobile telephony remains the most
important, and this more and more. Thus, revenues from mobile sales reached
approximately 21.6 billion euros, representing 56% of the total.
However, if they have increased 8.6% compared to the same period to 2012, they
decreased by 9% from the previous quarter. This last point can be explained by
the launch of the latest iPhone and other competing models.
The rest of the
activities concerning the components and televisions at approximately 28% and
consumer electronics for approximately 16% of the total.
If Samsung has managed to become leader in the mobile market, it should
diversify its activities does not depend on these revenues. Indeed, in Western
markets this sector began to falter. Furthermore, the sale of equipment requires
to adapt to variations in exchange rates, which can weigh heavily on the
charges. Samsung would be well advised to innovate and turn to other activities,
such as new services or software.