Samsung profit soars to $6.6 bn

Samsung Electronics posted a profit of $6.6 billion in the last three months of 2012 marking a 76% increase from the previous year, the CNN reported.

While this represents a new record quarter for the world's largest maker of smartphones, Samsung's share price had slumped more than 2% by mid-day trading in Seoul after the company predicted consumers will buy fewer smartphones in 2013.

"The furious growth spurt seen in the global smartphone market last year is expected to be pacified by intensifying price competition compounded by a slew of new products," said Samsung in a press release.

"In the first quarter, demand for smartphones in developed countries is expected to decelerate, while their emerging counterparts will see their markets escalate with the introduction of more affordable smartphones."


Samsung's quarterly earnings release comes one day after Apple, its biggest rival in the smartphone and tablet markets, also announced record quarterly earnings of $13.1 billion in its last quarter.

However, Apple's share price plunged more than 12% after the company missed its revenue estimate by about $200 million. Analysts had expected quarterly revenue of $54.7 billion; Apple announced actual revenue of $54.5 billion. iPhone and iPad sales, which continued to be strong, failed to impress investors who have become used to the tech giant far exceeding its own sales and profit forecasts.