Samsung Vice Chairman Lee Jae-yong denies charges as bribery trial begins
- Author: Terrell Bush Apr 13, 2017,
Apr 13, 2017, 0:39
Apparently helped by the robust performance of its chip business, the company's operating profit is estimated at 9.9 trillion won ($8.76 billion) in the January-March period, compared with 6.68 trillion won posted a year earlier, the South Korean tech giant said in its regulatory filing. That overshadowed Samsung reporting quarterly profit of almost $9 billion - its highest in more than three years - and the start of pre-orders in South Korea for its newest flagship smartphone. Revenue rose 0.4 per cent to 50 trillion won, just ahead of analysts' forecasts.
The hefty profits highlight Samsung's resilience after the embarrassing recall of its fire-prone Note 7 smartphone past year.
Lee Jae-yong, 48, a vice chairman at Samsung Electronics and the only son of its chairman, was arrested and indicted in February on bribery, embezzlement and three other charges that could entail at least five years in prison if he is proven guilty.
Reports coming from a South Korean news outlet known as Yonhap News says that Samsung has apparently confirmed the selling of the premium Galaxy S8 Plus in other markets other than South Korea and China. "It will give a big boost for Samsung's earnings from the second quarter", said Lee.
"We are very positive about the new phone".
At the time, the company reported a decline at its IT and mobile communications division, which makes both handsets and network equipment and accounted for about 44% of fourth-quarter revenues.
Aside from this, the smartphone has a fingerprint sensor embedded in the home button, and a rather odd choice for Samsung: stereo speakers at the bottom of the device. His lawyers have said that evidence suggesting any wrongdoing is "based on presumptions", and have pledged to engage in a lengthy lawsuit that could last past the end of this year.
However, despite rough recent quarters, Samsung has been able to generate strong results, owing to its components business.
As of now, no Samsung smartphone features a dual rear camera setup, but, all this could change with Samsung Galaxy Note 8.
For many months, Samsung (SSNLF) has been embroiled in a wave of bitter controversies ranging from corruption charges waged at senior management to the widespread Galaxy Note 7 recall.
Samsung Canada confirmed to MobileSyrup that the one-time flagship would not see a valiant return on Canadian soil, noting "Samsung Electronics Canada will not be offering refurbished Galaxy Note7 devices for rent or sale in Canada".