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Samsung India's profit declines 58 pc, becomes USD 10 bn firm

Dec 2, 2019, 20:43 IST
PTI
New Delhi, Dec 2 () Samsung India Electronics' consolidated net profit fell over 58 per cent to Rs 1,540.5 crore in 2018-19, according to a regulatory filing.

The firm had posted a net profit of Rs 3,712.8 crore in the financial year 2017-18.

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However, the company total income rose 20 per cent to Rs 73,085.9 crore in FY19 from Rs 61,065.6 crore in the previous fiscal, as per the documents filed by the company to the Registrar of Companies (RoC)

Samsung India competes with the likes of Xiaomi, OnePlus and LG in India.

With this, the mobile phone and consumer durables major has crossed the USD 10-billion income milestone in the Indian consumer electronics market.

E-mails sent to Samsung India did not elicit a reponse.

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Samsung India's revenue from operations in 2018-19 stood at Rs 70,627.7 crore, a rise of 19 per cent as compared with Rs 59,370.9 crore in the previous fiscal.

Over 60 per cent of the revenue from operations for the South Korean conglomerate came from mobile phones (Rs 43,087.98 crore), while the audio visual segment (television and cameras) and the home appliances category (washing machines, refrigerators and air conditioner) accounted for Rs 5,015.7 crore and Rs 7,408.2 crore, respectively.

Samsung has been witnessing strong competition in the mobile phone space from players such as Xiaomi (mass segment) and OnePlus (premium segment). Earlier this year, Samsung had launched its online-only M series and had said it was confident of clocking double-digit growth in the hyper-competitive Indian smartphone market.

According to research firm IDC, Xiaomi led the smartphone shipment tally with 27.1 per cent share, followed by Samsung (18.9 per cent), Vivo (15.2 per cent), Realme (14.3 per cent) and Oppo (11.8 per cent) in the July-September quarter that saw a record shipment of 46.6 million units.

During the financial year 2018-19, Samsung India saw its total expenses go up by over 27 per cent to Rs 70,227.8 crore as against Rs 55,283.8 crore.

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Its employee benefit expenses grew to Rs 2,537.6 crore in 2018-19 from Rs 2,342 crore in the previous financial year, while finance cost were higher at Rs 1,059.3 crore in 2018-19 as against Rs 711 crore in the year-ago period. KRH SR HRS

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