Samsung's FY2011 revenue up 7 percent

Samsung Electronics has posted a revenue of 165 trillion won for the year 2011, up 7 percent from the previous year.

However the net income and operating profit of the company dipped 15 percent, and 6 percent on year-on-year YoY basis, reaching 13.75 trillion won, and 16.25 trillion won respectively.

For the fourth quarter, the company posted consolidated operating profit of 5.3 trillion won, representing a 79-percent increase year-on-year.

The telecommunications businesses reached quarterly earnings of 17.82 trillion won, up 52 percent from the previous year, with growth mainly driven by strong sales of company's GALAXY S II and GALAXY Note.

The operating profit for the businesses also hit 2.64 trillion won on-quarter.

''Despite intensified competition amid the global economic slowdown, our telecommunications businesses continued to post solid earnings with an enhanced line-up of high-end smartphones, resulting in higher average selling price(ASP),'' said Robert Yi, senior VP and head of investor relations.

''Moreover, improved profitability and earnings growth of our set businesses, including smartphones and flat panel TVs led to our company’s strong earnings,'' he further added.

The company's lineup of LED TVs, including premium models for advanced markets and region-specific models for emerging markets, has also improved quarter-on-quarter sales.

In 2012, the company expects the capital expenditure (Capex) to amount to 25 trillion won, in which 15 trillion won will be invested in the semiconductor business that consists of memory and system LSI. Of the total Capex planned for this year, 6.6 trillion won will be allocated for investment in the Display Panel (DP) segment, which comprises LCD business, and subsidiary Samsung Mobile Display.

The company's semiconductor business- including memory and system LSI, posted consolidated operating profits of 2.31 trillion won in the fourth quarter, with a revenue reaching 9.17 trillion won, a 1 percent decrease year-on-year.

For the full year 2011, the chip unit registered 7.34 trillion won in operating profits on revenue of 36.99 trillion won.