Samsung's Next Big Gamble Is The Galaxy Note 6 Launch Date

Following the promising guidance offered earlier this month, Samsung’s first quarter results have answered many of the short-term questions that were being asked of the South Korean company’s mobile division. But it also shows the gamble the company is taking to be seen as successful, and if it will go double-or-quits with the Galaxy Note 6.

First up, the numbers. Revenue for the first calendar quarter of 2016 is up year-on-year, as is profit. Samsung’s current product mix all contributed to the growth. Its semiconductor business saw more efficient sales of value-added products, while the display business saw a drop in earnings due to the transition of many partners from LCD to OLED panels.

Samsung Electronics today announced financial results for the first quarter ended March 31, 2016. Samsung’s revenue for the quarter was KRW 49.78 trillion, an increase of 5.7 percent YoY, while operating profit for the quarter was KRW 6.68 trillion, an increase of 12 percent YoY… The first quarter saw overall earnings growth led by the early launch and successful sales of the flagship Galaxy S7 and S7 edge, improved memory product mix, expanded 14nm supply of System LSI products and increased sales of OLED panels.

It’s the mobile division that everyone has been wondering about. Strictly speaking its the ‘IT & Mobile Communications Division,’ but no matter the name it saw a substantial rise in earnings both year-on-year and quarter-on-quarter (revenue up 6.6 percent year-on-year, profit up 42 percent year-on-year).

This was expected. Samsung brought forward the release of the Galaxy S7 and the S7 Edge from the traditional slot at the very end of the first quarter. Those three weeks of sales will have contributed heavily to the climb in revenue and profits.

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