Samsung's latest flagship smartphones - the Galaxy S7 and Galaxy S7 edge - seems to be on track to spin a web of sales magic for the company.
While the company has stayed mum on the number of Galaxy S7 units it has shipped since the Android-powered handset's release on March 11, analysts are waxing eloquent and estimate that the South Korean OEM possibly shipped a whopping 10 million units of the smartphone.
According to market pundits, both the Galaxy S7 and Galaxy S7 edge is seeing stronger-than-expected sales revenue, which is in turn buoying Samsung and helping it emerge from the two-year plateau.
Despite sluggish sales of flagship smartphone is the prior two years, Samsung has surpassed the 7 million unit estimate per a report by Jay Koo, analyst at Korea Investment & Securities. Koo is of the belief that Samsung has succeeded in shipping nearly 9.5 million Galaxy S7 smartphones in this short span. It is unclear if Koo's estimates include the Galaxy S7 edge sales.
Market experts are optimistic of the first quarter sales performance of the Galaxy S7 smartphone, which judging by the current trend is set to bypass the Galaxy S6 sales with ease. A factor that may have worked sway the tide in Samsung's favor is that the company started shipping the Galaxy S7 a month earlier when compared to predecessor Galaxy S6. No competing products from rival Apple also was a plus.
Moreover, the lack of major redesign for the Galaxy S7 also contributed to the company achieving its time window. This also helped lower the production costs and will aid in giving a boost to the profit margins of the company.
"It looks like the sell-in numbers have been pretty good and analysts are raising their sales forecasts for the S7 this year," noted Park Jung-hoon, HDC Asset Management fund manager. "The firm is pushing up volume in the mid-to-low tier to protect market share."
Analysts are optimistic that thanks to the stellar sales performance of the Galaxy S7 duo, the Q1 2016 earnings for Samsung will bypass forecasts with ease.
It is unlikely that Samsung will divulge any sales figures officially till its Q1 2016 earnings call. Even then it is circumspect if the company will offer an accurate insight into the number of units sold.
Photo: Andri Koolme | Flickr
