Company Press Release:
 
Samsung Telecommunications Reports Second Quarter Results
 
The Telecommunication Network Business posted an operating profit of 350 billion won on revenue of 4.50 trillion won. On a consolidated basis, operating margins show a steady performance of 500 billion won.
 
Robust sales of premium handsets, including the “Ultra Edition,” and a solid performance in emerging markets helped boost sales to a record of 37.4 million units for a single quarter. This strong performance led the company to increase its annual sales target to more than 150 million units. 

The company is expanding sales and market share in emerging markets and is also focusing on innovations of the handset development processes to eliminate production inefficiency. These activities include re-establishing global supply chain management, outsourcing components at the global manufacturing bases, shortening manufacturing process and introducing new cost-effective platforms. Results of these activities are expected to appear in 2008.
 
(in trillion won)
Revenue by Business 
2Q06
1Q07
2Q07
Growth
YoY
QoQ
Telecommunication Network
4.28
4.60
4.50
5%
(2%)
 Mobile Phone
4.04
4.28
4.23
5%
(1%)
 
 
(in trillion won) 
Operating Profit by Business  
2Q06
1Q07
2Q07
Growth
YoY
QoQ
Telecommunication Network
0.41
0.60
0.35
(13%)
(41%)