Samsung says Galaxy S5 smartphone enjoys brisk sales

May 15, 2014
Visitors pass an ad for Samsung Electronics' Galaxy S5 at its showroom in Seoul on April 29, 2014

Sales of Samsung Electronics' new flagship Galaxy S5 smartphone are outpacing that of its predecessor, the company's co-chief executive said, suggesting it may be regaining momentum in the multi-billion-dollar sector.

More than 11 million S5s have been shifted since its launch at the start of last month. That compares with about 10 million units of the S4 smartphones in the same amount of time last year, J.K. Shin, who also heads Samsung's mobile business, said in an interview with the Wall Street Journal.

Without providing specific figures, Shin said he thinks strong Galaxy S5 sales will lead to higher mobile profit margins and market share in the second quarter.

The firm last month reported a dip in operating profit for the first quarter as its smartphone unit sees falling demand in mature regions such as Europe and the United States while battling increasingly competitive emerging markets such as China.

"It's been a month since we began selling the S5, and out of the gate, sales are much stronger than the Galaxy S4," he said, citing good sales in the United States, Australia and Germany.

Samsung's mobile unit has been the driving force behind record profits in recent years, but it needs the S5 to perform well as a retort to doom-mongers who say it lacks a clear strategy to flourish in the saturated smartphone market.

Samsung made more than 30 percent of all smartphones sold in the world last year, nearly twice the share of its arch-rival Apple but it lost in January-March for the first time in four years, according to Strategy Analytics.

Its mobile-phone margins have also been under pressure as the company spent billions of dollars to advertise its devices overseas.

Explore further: Samsung Galaxy S5 makes global debut

add to favorites email to friend print save as pdf

Related Stories

Samsung Galaxy S5 makes global debut

Apr 11, 2014

The latest version of Samsung's flagship Galaxy smartphone went on sale worldwide Friday, days after the electronics giant announced it was facing a second consecutive quarter of profit decline.

Samsung looks to life beyond the smartphone

Apr 13, 2014

After years of record profit growth, tech giant Samsung Electronics looks to be at a commercial crossroads as it searches for a new growth driver to counter slowing sales of its phenomenally successful smartphones.

Samsung on top in growing smartphone market

Apr 30, 2014

South Korea's Samsung remained at the top of the rapidly growing smartphone market in early 2014 as Chinese rivals gained ground, a survey showed Wednesday.

Samsung reports record-high profit for 3Q

Oct 04, 2013

Operating profit at Samsung Electronics hit another record high in the July-September quarter, likely driven by robust sales of its cheaper mid-range smartphones in developing countries.

Recommended for you

Verizon 2Q profit rises 93 percent

31 minutes ago

Verizon reported Tuesday that its second-quarter earnings nearly doubled after it secured full ownership of Verizon Wireless.

Comcast 2Q earnings top views on Internet hookups

1 hour ago

Comcast Corp.'s second-quarter net income rose 15 percent to nearly $2 billion as it added high-speed Internet customers at a faster pace than a year ago and video subscriber losses moderated.

Ex-Qualcomm exec pleads guilty to insider trading

15 hours ago

A former high-ranking executive of US computer chip giant Qualcomm pleaded guilty Monday to insider trading charges, including trades on a 2011 deal for Atheros Communications, officials said.

Media venture creates press litigation fund

16 hours ago

The media venture created by entrepreneur Pierre Omidyar said Monday it was establishing a fund to help defend journalists in cases involving freedom of the press.

User comments : 0