Samsung profits rise on strong handset sales

Company is still capitalizing on Motorola's troubles by racking up stronger handset sales in the second quarter.

Samsung Electronics reported Friday that its second-quarter profits rocketed 51 percent, due in large part to a surge in cell phone sales.

The South Korean company, which sells TVs and other consumer electronics, electronic components, and mobile handsets, reported a profit of $2.12 billion on $18 billion worth of sales.

The company said the jump in profits came as it sold 45.7 million handsets during the quarter, a 22 percent hike in sales over the previous year. For the past year, Samsung has been gobbling up market share at the expense of its American rival Motorola. Last year, the company overtook Motorola as the No. 2 handset maker in the world , behind Nokia , the worldwide leader.

But despite its strong sales in the second quarter, Samsung executives told investors and analysts that it expects the worldwide economic slowdown to affect sales in the second half of the year.

Samsung has seen great success with its smartphone the Instinct, which is sold exclusively in the U.S. for Sprint Nextel's network. Sprint reported in June that the phone had sold out in the first week it was on the market .

Tags:
Mobile
About the author

Marguerite Reardon has been a CNET News reporter since 2004, covering cell phone services, broadband, citywide Wi-Fi, the Net neutrality debate, as well as the ongoing consolidation of the phone companies. E-mail Maggie.

 

Join the discussion

Conversation powered by Livefyre

Show Comments Hide Comments
Latest Galleries from CNET
Best cameras for foodie photographers (pictures)
10 mobile gadgets gone gonzo (pictures)
Apple in 2014: iPhone 6, iCloud hack, Beats and more (pictures)
The 12 most distinctive phones of 2014 (pictures)
Best mobile games of 2014
Nissan gives new Murano bold style (pictures)