Samsung Electronics has managed to defy the global financial outlook by recording record profits for the fourth quarter of 2011. This has been driven by sales of smartphones, which could be as a result of people recycling their mobile phone in favour of new devices.
The South Korean company estimated its operating profit for the October-December period to be at an all-time high of $4.5 billion (£2.9billion) and attributed the projections to the strong performance of its handset division, Financial Times reports.
Two years ago the company was only a minor player in the smartphone industry but its popular Galaxy series has paved the way for it to surpass Apple to become the world's largest smartphone seller by shipments in the third quarter.
"We expect Samsung to build on its supremacy as it has many models to tackle various segments of the market, while Apple basically has only one model targeted at the high end," Jae Lee at Daiwa Securities said.
It was reported earlier this week that Samsung would be releasing its latest smartphone – the Galaxy Ace Plus – in mainland Europe later this year.