Smartphone sales helped Samsung revenues grow by 20 per cent in Q2

Strong sales of high-end smartphones led to a 79 percent jump in Samsung's operating profits for the second quarter of 2012.

The mobile phones, flat screen panels, memory chips and TV maker in Suwon, South Korea said in its guidance for the quarter that the operating profit for the quarter was likely to be about 6.7 trillion won (US$5.8 billion at the exchange rate on the last day of the quarter), compared to 3.75 million won in the same quarter last year.

Revenue was expected to be up by in the April-to June quarter by about 20 percent to 47 trillion won.

The latest Galaxy S III is expected to do well, helping the company to retain its dominance in the smartphone market in the quarter. But, it will get into a tight race with Apple's anticipated new iPhone in the later quarter, according to analysts.

"The 14.3 per cent of operating profit margin indicates the strong sales of the company's high-end smartphone line-ups and they are expected to take away the ones of the rival companies," said Lee Sun Tae, an analyst with NH Investment & Securities.

Smartphone salescontributed to about 4.1 trillion won of the operating profits, Lee said.

Shipments of the Galaxy S III are expected to be about 20 million in the third quarter, he added.

The phone was launched in May globally. But, delays in shipments have prevented some U.S. carriers from offering the device until very recently.

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AT&T for example said in a blog post that the Galaxy S III will be available at AT&T stores from Friday.

"Thousands of customers, who just couldn't wait, have already preordered it and have the device in hand," it added. Verizon Wireless has said the device will be available at its stores and online from July 10.

Scott Bicheno, a senior analyst with Strategy Analytics said the company is expected to have shipped 95 million handsets in the quarter of which 45 million were smartphones, and 2 million were tablets.

Despite the strong handset sales, the slowdown in the semiconductor market and shrinking demand for finished-set products has caused the Korea Investment and Securities to lower the forecast for the third-quarter operating profit to 7.6 trillion won from 8.5 trillion won.

A court in California recently ordered preliminary injunctions against sales in the U.S. of Samsung's Galaxy Nexus smartphone, and Galaxy Tab 10.1 tablet.

Samsung has stated its intention to appeal, and also said in court that it has other models to sell.

The full earnings is scheduled to be released on July 27.