Sales haven’t been what Samsung wanted them to be over the last few quarters. With the launch of the Samsung Galaxy S6 and S6 Edge, Samsung is looking to a significant improvement in sales volume. In fact, Samsung is predicting record shipments and is predicting the largest profits in the January-March quarter than it has seen in the last three quarters.
Part of the reason sales are turning around for Samsung is that it opted to use its own chip inside the S6 and S6 Edge making for higher margins. Samsung has also announced that it expects demand to outpace availability for the S6 Edge.
The curved edge screen of the S6 Edge is difficult to produce and constrains availability for the smartphone. The Edge has proven popular so far and Samsung says that some carriers have been trying to change orders and get hands on more of the Edge devices.
Samsung is expecting record sales, but it won’t say just how many sales it expects. The higher margins on the S6 Edge mean that the average sales price for Samsung will stay higher, resulting in more profits. Samsung expects more standard S6 smartphones to sell than the Edge version.
SOURCE: Reuters
