Samsung Electronics on July 24 posted an impressive set of its second quarter earnings. For the three months through June, operating profits were just over $2 billion, a fivefold increase on the first quarter and up 5% from a year earlier. The total revenue was $26 billion, up 13.4% from the first quarter and 11.7% from the same period last year.
Samsung LED TV Series 7 UK Trailer
The impressive profitability of the TV business was highlighted in the report. Samsung's Digital Media division, which makes TVs, computers, printers, and other home electronics products, scored $848 million in the second quarter revenue, comparing with $304 million for the previous quarter and $112 million a year ago. That represents a respectable profit margin of 9%.
Samsung LED TV
The company’s strategy is to concentrate on high-end LCD (liquid-crystal display) TVs, particularly LED back-lit ones. In 2009, Samsung introduced a new line of large-screen LED LCD TVs that cost some $600 more than traditional flat-screen sets. Then it splurged on hundreds of millions of dollars in promoting and popularizing the new technology.
