Samsung has posted revenue of 52.87 trillion won (£33.9bn) for Q1 2013, 17 per cent higher than a year earlier but six per cent not up to the former quarter.

Operating profit was 8.78 trillion won (£5.1bn) – a one per cent decline on Q4 last year. Strong smartphone sales, with Samsung still the number 1 manufacturer on the planet, and reduced marketing costs contributed to a profitable quarter for the IT & Mobile Communications (IM) division.

The division, which also includes networks and digital imaging, makes around 60 per cent of the company’s revenues. Revenues were 32.82 trillion won in Q1 (£19.1bn), a seven per cent increase on Q4 2012.

Sound sales of Galaxy S3 and GALAXY Note 2 devices aided profit margins on this division, the corporate said, nonetheless it forecasts dampened smartphone demand and heightened competition in Q2 from mid- to low-end handset makers. Robert Yi, senior vice chairman and head of investor relations, said that they expect to extend R&D spending to bolster competitiveness sooner than new product launches.

The company sold a ‘stable supply’ of LTE and 4G equipment inside the Networks area of the business, while the computer business had another ‘trying’ quarter. Demand for consumer electronics in emerging markets stemmed some sales losses but a sluggish economy took its toll on sales of TVs and residential appliances.