Triple revenues for Samsung in Romania

Samsung Electronics expects to see its revenues in Romania triple, with a substantial growth anticipated for communications and IT soon, said Simon Rhee, managing director of the Austrian branch of the South Korean producer.

Simon Rhee estimates Samsung Electronics’ Romanian revenues to reach $50 million by yearend, nearly three times higher than a year ago. “By 2005, we will probably see more than $100 million turnover for all the three market segments on which we operate, electronics – home appliances, telecommunications and IT together,” Simon Rhee specified

The company estimates 40% of its total revenues by yearend to be derived from sales of electronics and home appliances, 40% from IT-related sales and 20% from communications (mobile phones mainly). Even though the IT industry is not that strong in Romania yet, Samsung is logging spectacular growth at least for one of the segments of this market. The South Korean company saw its revenues derived from sales of displays progress by 325% in the first half this year compared with the second half of last year.

The company has after all, set a goal for itself, i.e. attaining 10% of the display market in Romania by the end of this year. The display business growth was accompanied by a 50% increase in the sales of electronics and home appliances during the same interval (H1, 2003 compared with H2, 2002). The highest growths in the near future will be registered by the telecom segment, with IT close behind. “We expect a boom on the mobile phone segment, as well as on the LCD, plasma and projector screen segment,” Simon Rhee added.

The South-Korean producer, the number three worldwide in terms of mobile phone sales has started selling handsets in Romania this year, but expects the business to double by 2004. To that end, Samsung will launch four new mobile phone models (SGH C100, SGH X100, SGH X600 and SGH E700) through its handset dealer HAT Romania by yearend. iuliana.susanu@zf.ro