According to the Wall Street Journal, Samsung has run into a problem at the end of March; they almost have too much money. Samsung’s net profit rose 42% in March 2013, and after calculating debt and everything, they’re left with about $28.5 billion. That is an extremely large pile of money. That figure has tripled in the past year. Samsung’s mobile division accounted for about 74% of that rise in profit, which is a pretty staggering statistic when you consider all the televisions, components, and appliances Samsung makes.
Analysts expect Samsung to put that money into investing in different areas of its businesses, and possibly give shareholders higher returns. Samsung has stated that they will make ”investments sustainable for areas like facilities, R&D, and marketing that will help the company solidify or boost competitiveness,” which I think is a pretty typical, safe answer. Rest assured, I think we can all say Samsung is likely going to beef up it’s Galaxy line of mobile devices, as it’s the biggest cash cow for the company right now.
source: Wall Street Journal
Come comment on this article: Samsung sitting on over $28 billion in cash at the end of March