Harman’s Contribution
It has been found that Harman International Industries, which was acquired by Samsung Electronics on March 11, posted 537.749 billion won in sales and 24.449 billion won in net profit from that day to the end of the first quarter of this year. Under the circumstances, the new fully-owned subsidiary of Samsung Electronics is expected to add at least eight trillion won to the sales of the electronics manufacturer for this year.
Harman International Industries is currently an unlisted company and data on its Q1 performance is not available. Industry insiders, however, are estimating its Q1 sales and operating profit at more than two trillion won and approximately 200 billion won, respectively. In the last quarter of last year, the figures were US$1.947 billion and US$174 million, up 11% and 9% from a year ago.
Samsung’s acquisition of Harman is likely to increase the former’s sales by eight trillion won and its operating profit by 800 billion won in 2017 alone. Earlier, Bloomberg reported that Harman’s sales and operating profit for this year are estimated at US$7.5 billion and US$750 million, respectively.
In the meantime, financial data provider WISEfn said on March 17 that Samsung Electronics is expected to reach 232 trillion won in sales and 50 trillion won in operating profit this year and break its previous record set in 2013, when the respective figures were 228.6927 trillion won and 36.785 trillion won.