Samsung El.gdr Regulatory News (SMSN)

15 Jan 2008 07:00

Samsung Electronics Co. Ld15 January 2008 January 15, 2008 Earnings Release 4Q 2007 Samsung Electronics Disclaimer This document is provided for the convenience of investors only, before ourexternal audit on Q4 2007 financial results of our headquarters is completed. The audit outcomes may cause some parts of this document to change. This document contains "forward-looking statements" - that is, statementsrelated to future, not past, events. In this context, forward-looking statementsoften address our expected future business and financial performance, and oftencontain words such as "expects," "anticipates," "intends," "plans,""believes," "seeks," or "will." Forward-looking statements by their natureaddress matters that are, to different degrees, uncertain. For us, particular uncertainties which could adversely or positively affect ourfuture results include: the behavior of financial markets including fluctuationsin exchange rates, interest rates and commodity prices; strategic actionsincluding dispositions and acquisitions; unanticipated dramatic developments inour major businesses including semiconductor, LCD, telecommunication, digitalmedia and digital appliances; and numerous other matters at the national andinternational levels which could affect our future results These uncertainties may cause our actual results to be materially different fromthose expressed in this document. Sales and Profits (Unit : Trillion, KRW) 4Q 07 Q-on-Q 3Q 07 FY 07 Y-on-Y FY 06Sales 17.48 5% 16.68 63.18 7% 58.97Gross Profit 4.86 4% 4.68 16.33 -2% 16.61 (Margin) (28%) (28%) (26%) (28%)SG&A 3.08 18% 2.62 10.39 7% 9.68Operating Profit 1.78 -14% 2.07 5.94 -14% 6.93 (Margin) (10%) (12%) (9%) (12%)Non-operating Income 0.76 35% 0.56 2.69 18% 2.28Pretax Income 2.54 -3% 2.63 8.63 -6% 9.22 (Margin) (15%) (16%) (14%) (16%)Income Tax 0.33 -24% 0.44 1.21 -7% 1.30Net profit 2.21 1% 2.19 7.43 -6% 7.92 (Margin) (13%) (13%) (12%) (13%) Sales forecast for 0708 -Target to increase sales in 08 over 15% YoY - Consolidated sales in 07: 103.4 billion USD (96.1 trillion KRW) * Our financial budget for 2008 has not yet been finalized. The above guidanceis provided to enhance investors' understanding. Divisional Performance - Sales (Unit : Trillion, KRW) 4Q 07 Q-on-Q 3Q 07 FY 07 Y-on-Y FY 06Semiconductor 4.91 -2% 5.01 18.66 -2% 19.08Memory 3.24 -9% 3.58 13.20 -8% 14.39 System LSI 0.90 21% 0.74 2.85 29% 2.21LCD 4.46 11% 4.02 14.66 25% 11.70Telecommunication 5.37 6% 5.08 19.55 7% 18.24 Handsets 5.07 6% 4.80 18.37 7% 17.19Digital Media 1.64 11% 1.48 6.12 -3% 6.30Digital Appliances 0.86 -8% 0.93 3.52 14% 3.09Total 17.48 5% 16.68 63.18 7% 58.97 Divisional Performance - Operating Profit (Unit : Trillion, KRW) 4Q 07 Q-on-Q 3Q 07 FY 07 Y-on-Y FY 06Semiconductor 0.43 0.91 2.21 5.03 -53% -56%(Margin) (9%) (18%) (12%) (26%) LCD 0.92 0.67 1.95 0.65 37% 201%(Margin) (21%) (17%) (13%) (6%) Telecommunication 0.58 0.59 2.12 1.74 -1% 22%(Margin) (11%) (12%) (11%) (10%) Digital Media -0.13 -12% -0.12 -0.34 8% -0.37 (Margin) (-8%) (-8%) (-5%) (-6%) Appliances -0.03 -0.006 -0.04 -0.17 -487% 77%(Margin) (-4%) (-0.6%) (-1%) (-6%) Total 1.78 2.07 5.94 6.93 -14% -14%(Margin) (10%) (12%) ( 9%) (12%) Consolidated basis OP (Unit : Trillion, KRW) 4Q 07 3Q 07 FY 07 FY 06Semiconductor 0.52 0.86 2.35 5.15LCD 0.97 0.72 2.11 0.84Telecommunication 0.63 0.88 2.76 1.98Digital Media 0.39 0.24 1.06 0.58Digital Appliances 0.01 0.04 0.15 -0.11 * The consolidated OP is provided to enhance investors' understanding Financial Structure (Unit: Trillion KRW) 4Q 07 3Q 07 FY 06Assets 65.2 61.9 57.8 Cash* 7.8 5.5 6.4 A/R & Inventories 5.1 5.7 5.1 PP & E 29.8 29.7 28.8 Other Assets 22.5 21.0 17.5Liabilities 13.7 12.6 12.6 Debt 0.1 0.1 0.1 Other Liabilities 13.6 12.5 12.5Shareholders Equity 51.6 49.3 45.2Debt / Equity 0.2% 0.2% 0.2%Net Debt / Equity -15.0% -10.9% -13.9%Return on Equity 15.3% 18.2% 18.7%Return on Asset 12.1% 14.5% 14.6% * Cash = Cash + Cash equivalents + Short-term financial instruments + Marketablesecurities Cash Flow (Unit: Trillion KRW) 4Q 07 FY 07 FY 06Cash* (Beginning of period) 5.47 6.37 6.87Cash flow from Operation 5.27 13.40 13.11Net Profit 2.21 7.43 7.92Depreciation 1.86 7.06 5.68Income(Loss) from Equity method -0.72 -2.36 -1.71Increase(decrease) in Working 1.92 1.27 1.22 Capital, etcCash flow from Investment -2.95 -9.43 -11.16CAPEX -2.11 -8.47 -10.25Cash flow from Finance 0.03 -2.53 -2.45Dividend - -0.82 -0.83Decrease of Short-term borrowings - - -Repurchase of Shares - -1.83 -1.81 Proceeds from sales of shares 0.03 0.12 0.19 Under stock option planNet increase in cash 2.34 1.44 -0.50Cash (End of period) 7.81 7.81 6.37 * Cash = Cash + Cash equivalenst + Short-term financial instruments + Marketablesecurities Capital Expenditures (Unit: Trillion KRW) 07 Plan 4Q 07 07 ActualSemiconductor 6.84 1.35 6.34Memory 6.19 1.26 5.74System LSI 0.57 0.06 0.52LCD 1.37 0.44 1.27Telecommunication 0.23 0.04 0.19Digital Media & Others 0.73 0.28 0.67Total 9.17 2.11 8.47 1. Consolidated Memory capital expenditures (including SAS, etc): 6.91 trillionKRW 2. Consolidated LCD capital expenditures (including S-LCD, etc): 1.76 trillionKRW 3. Total consolidated capital expenditures for the company in '07: 10.80trillion KRW Guidance for 08 capital expenditures - 08 consolidated capital expenditures forecast for the company: over 11trillion KRW Capital expenditures forecast for the Memory: 7 trillion KRW, LCD: 3.7 trillionKRW * Our financial budget for 08 has not yet been finalized. The above guidance was provided to enhance investors' understanding. For a detailed presentation of our 4Q 2007 results including business outlook, Please refer to the following link : http://www.samsung.com/ir This information is provided by RNS The company news service from the London Stock Exchange