SEOUL — Samsung Electronics projected Tuesday a profit of $8.3 billion in the quarter that ended last month as demand picked up for the flat screens it makes for mobile devices, including those for products sold by Apple.

The forecast could signal a run of five consecutive record quarters, but it may end in the January-to-March period because of weaker seasonal demand. But a strong line of new smartphones — the biggest earner for Samsung, the South Korean giant — and improving chip prices have eased concerns that earnings growth could slow this year.

“Investors are a bit concerned that Samsung’s momentum may slow in the first half,” said Kim Sung-soo, a fund manager at LS Asset Management. “The smartphone market is unlikely to sustain its strong growth, as advanced markets are nearing saturation despite growth in emerging countries.”

Samsung has outpaced Apple — its biggest rival and also its biggest customer — with sales momentum bolstered by its Galaxy Note II phone-tablet hybrid in the fourth quarter. IPhone 5 sales were a little below expectations, analysts said.

While Apple introduced just a single new smartphone last year globally, Samsung bombarded the market with 37 variants adjusted to regional and consumer tastes, including both high-end and low-end smartphone models. By comparison, HTC of Taiwan released 18 models, Nokia of Finland released nine and LG Electronics of South Korea introduced 24.

HTC said Monday that its fourth-quarter profit had slumped about 90 percent as its sales had continued to trail those of the Galaxy range of phones and the iPhone.

Samsung gave its October-December earnings guidance before the full earnings release expected by Jan. 25.

Shipments of Samsung’s flagship phone, the Galaxy S III, which overtook the iPhone 4S in the third quarter to become the world’s best-selling smartphone, are likely to have slipped to about 15 million in the past quarter from 18 million in July to September, analysts estimate, but sales of about 8 million of the Galaxy Note II should more than make up for that, pushing overall smartphone shipments to about 63 million.

“The Note was selling well, boosting fourth-quarter profit, while iPhone 5 sales were less than expected,” said Song Myung-sub, an analyst at HI Investment Securities. “Samsung’s profit will drop in the current quarter because of decreased phone profits. It will launch the Galaxy S IV only in March or April, so, without new models, phone sales prices will fall this quarter. For the whole year, Samsung will launch new models faster than Apple and have the upper hand in the smartphone market.”

The new Galaxy, widely expected to be released within months, may have an unbreakable screen and full high-definition resolution, with 440 pixels per inch, as well as a better camera and a more powerful processor.

“Samsung’s smartphone shipments are likely to grow, even in a seasonally weak first quarter,” said Peter Yu, a BNP Paribas Securities analyst. “The early launch of the Galaxy S IV would drive second-quarter growth momentum.”

He predicted Samsung’s 2013 operating profit would grow 25 percent to almost $35 billion.

Samsung is expected to increase its smartphone sales by more than a third this year, and widen its lead over Apple as it offers a broader range of mobile devices, said Neil Mawston, executive director at Strategy Analytics, a market researcher, which forecasts Samsung will sell 290 million smartphones this year, up from a projected 215 million in 2012.

Apple is expected to sell 180 million iPhones, up from 135 million sold last year, Mr. Mawston said last week.

Kim Sung-in, an analyst at Kiwoom Securities, said he expected Samsung to ship 320 million smartphones this year and double sales of its tablets to 32 million.

Samsung said its operating profit in October to December had jumped 89 percent to 8.8 trillion won, or about $8.3 billion, from a year ago, just higher than an average forecast of 8.7 trillion won by 16 analysts surveyed by Reuters. That is 8.6 percent higher than its previous record of 8.1 trillion won in July to September.

Analysts expect profits from the mobile division will more than double from last year and increase slightly from the previous quarter, to about 5.8 trillion won. A recovery in chip prices and flat screens should also bolster earnings, helped by booming sales of mobiles carrying Samsung’s chips, microprocessors and flat screens.

Article source: http://www.nytimes.com/2013/01/09/business/global/samsung-forecasts-record-8-3-billion-profit.html?partner=rss&emc=rss