Samsung Electronics has recorded a 27% decline in net profit year-on-year due to lower profit from mobile division.
However, the company managed to beat its forecast with improved performance of memory chips and display panels.
The company recorded a profit of Won 5.3 trillion ($4.88bn) between October and December 2014 compared to Won7.3 trillion ($6.7bn) it reported during corresponding quarter a year earlier.
Sale of its 5.7 inch Galaxy Note 4 increased in the fourth quarter when compared to the sale of the Note in the third quarter of 2014.
The company said that its overall smartphone sales during the fourth quarter was between 72.2 million units and 75.1 million units which is less compared to the sale of Apple handsets which recorded 74.5 million sales in Q4 2014.
Samsung‘s mobile division also recorded drop in profit during the fourth quarter, as it reported 1.96 trillion Won ($1.8bn) which is a huge drop compared to the 5.47 trillion Won ($4.9bn) it made during the same quarter in 2013.
Total sales fell by 11% to 52.7 trillion won($48bn) when compared to a the sales in 2013, and operating profit fell 36% to 5.3 trillion won($4.88bn), which was at par with Samsung’s preview earlier this month.
According to reports, steady decline in its Smartphone business may have stopped, because it saw improvement in sales of Galaxy Note 4 along with other hi-end smartphones, but it recorded a drop in sales of cheaper phones.
After recording huge fall in smartphone shipment, the company previously decided to limit the number of models to streamline businesses, but it went on to introduce Galaxy Note Edge, the big-size smartphone with a curved side display.
However, the models remained a niche product rather than a mainstream model, reported The Associated Press.
