Samsung profit squeezed by Galaxy S6 shortage

The company couldn't meet demand for the S6's distinctive curved screen

Samsung Electronics expects to report lower than expected earnings for the second quarter after supply shortages kept down sales of its Galaxy S6 smartphone.

Operating profit for the quarter will likely be around 6.9 trillion won (US$6.1 billion), Samsung said, below the 7.2 trillion won analysts had been expecting. Sales are estimated at 48 trillion won, below the 53 trillion won analysts had forecast.

Samsung issued the preliminary earnings on Tuesday in Asia. It's due to report its full results later this month.

The Galaxy S6 isn't only Samsung's flagship smartphone. It's also its main hope for reigniting demand for its handsets, which has cooled in recent quarters.

The phone has a distinctive display that curves around the right hand side of the device, and it's that curved display that was in short supply last quarter, analysts have said.

Samsung is pinning its hopes on the S6 at a time when it's being squeezed by Apple at the high-end and by Xiaomi and other Chinese vendors at the low-end. Apple's iPhone 6 and 6 Plus in particular have been big hits around the globe, taking away sales from Samsung.

Martyn Williams covers mobile telecoms, Silicon Valley and general technology breaking news for The IDG News Service. Follow Martyn on Twitter at @martyn_williams. Martyn's e-mail address is martyn_williams@idg.com

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags smartphonesAndroidconsumer electronicsSamsung Electronics

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Martyn Williams

IDG News Service
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Tom Pope

Dynabook Portégé X30L-G

Ultimately this laptop has achieved everything I would hope for in a laptop for work, while fitting that into a form factor and weight that is remarkable.

Tom Sellers

MSI P65

This smart laptop was enjoyable to use and great to work on – creating content was super simple.

Lolita Wang

MSI GT76

It really doesn’t get more “gaming laptop” than this.

Jack Jeffries

MSI GS75

As the Maserati or BMW of laptops, it would fit perfectly in the hands of a professional needing firepower under the hood, sophistication and class on the surface, and gaming prowess (sports mode if you will) in between.

Taylor Carr

MSI PS63

The MSI PS63 is an amazing laptop and I would definitely consider buying one in the future.

Christopher Low

Brother RJ-4230B

This small mobile printer is exactly what I need for invoicing and other jobs such as sending fellow tradesman details or step-by-step instructions that I can easily print off from my phone or the Web.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?