Samsung Electronics announced fourth-quarter revenues of KRW 39.24 trillion, up 18.9 percent year-on-year. Operating profit rose 12.5 percent to KRW 3.70 trillion from Q3 and improved from losses of KRW 740 billion in the year-earlier period. The figures are in line with the company's previous guidance. Pretax profit came in at KRW 3.61 trillion. Samsung said the growth was due to improved semiconductor pricing and stronger consumer demand over the holidays. Operating profit was affected by an increase in marketing spending quarter-on-quarter and exchange rate losses due to the appreciation of the Korean won against the US dollar and euro. Samsung forecast positive growth across its businesses in 2010, with the continued economic recovery expected to stimulate demand for flat panel TVs, mobile handsets and notebook PCs. The company forecast a "significant" increase in capex this year from KRW 8.1 trillion in 2009. Samsung's telecom businesses, Mobile Communications and Telecommunications Systems, registered operating profit of KRW 0.99 trillion in the fourth quarter, on revenue up 12.1 percent to KRW 11.57 trillion. Samsung sold 69 million phones in the quarter, up 16 percent year-on-year and helping the company comfortably beat its 2009 sales target of 200 million units for a total 227 million units in the full year. The company estimates its market share was over 20 percent in 2009. Samsung forecast 10 percent growth in the mobile market this year, and said it will continue to focus on mid- and high-end touch-screen handsets and smartphones in developed markets, while streamlining its line-up and offering specialized products for emerging markets. Samsung's semiconductor business recorded revenues up 5.0 percent to KRW 8.02 trillion and an operating profit of KRW 1.7 trillion. The group forecast 10-20 percent growth in chip sales in 2010, due to improved demand for PCs, smartphones and LCD TVs.
