Samsung Electronics' Q2 profits jumped 48% compared to the same period last year powered by Samsung's mobile division, which accounted for 63% of the group's operating profit.
Sales of the Galaxy S III and other Samsung smartphones continued to push up profits in Q2 with analysts estimating that of the 93 million mobile phones shipped in the second quarter, 50.5 million were smartphones, making up 54% of all mobile phones shipped by the company.
The record results saw Samsung’s shares jump 4.5%. Samsung said its net profit was 5.19tr Korean Won (£2.90bn) in the April to June period, up from 3.51tr Korean Won (£1.96bn) in the same period a year ago. Revenue was 47.60tr Korean Won (£26.6bn), up 21% from 39.44tr Korean Won (£22bn) in the corresponding period.
Sales in its mobile wing leapt 75% to 20.52tr Korean Won (£11.47bn). Profits in the IT and mobile communications division also surged by 145% to 4.19tr Korean Won (£2.34bn).
However, the company remained cautious, particularly in the face of continuing economic problems in Europe, one of its key markets.
Head of investor relations Robert Yi said: 'Despite a difficult business environment, we achieved stable profits in the second quarter through our differentiated products and competitive technology.'
Yi added: 'As we move into the second half, continued fiscal instability in Europe and its effect on the global economy will result in the possibility of a slower-than-expected recovery and intensified market competition.'
Strategy Analytics' estimates Samsung has increased its share of the global smartphone market to 34.6%, compared to Apple’s 17.8% share.
In a report, Strategy Analytics said Samsung had shipped 50.5 million smartphones in Q2, which it claimed was the largest number of units ever shipped by any vendor in a single quarter. Apple reported earlier this week that it sold 26 million iPhones globally in Q2.
Strategy Analytics attributed Samsung's strategy of selling both high-end and affordable smartphones combined with high profile, aggressive marketing campaigns as central to its success.
This boost in Samsung's smartphone sales comes despite pent up demand in the market for the next iPhone, expected to be launched in Q4.
Strategy Analytics said Samsung remains the world's biggest mobile handset vendor with a 25.7% market share. Nokia currently holds a 23.1% share.
Meanwhile, as the Olympic Games officially open in London this evening, Samsung has announced Carphone Warehouse will sell a limited edition Galaxy S III handset with a Team GB cover.
The phone is available from 1 August on tariffs starting from £28 per month. The special edition phone will be available from the likes of Vodafone, Orange, O2, T-Mobile, Talk Mobile and Three. The manufacturer previously released a limited edition Olympics version of its Galaxy Note device.
Simon Stanford, VP of Samsung's UK & Ireland telecommunications and networks division, said: 'As a Worldwide Olympic Partner, we at Samsung want everyone to get behind Team GB and offer them support during the Olympic Games. We are delighted to be able to offer Carphone Warehouse customers the chance to own this exclusive London 2012 Samsung Galaxy S III handset, combining the chance to support Team GB with owning a piece of cutting-edge Samsung technology.'
Editor: Carol Millett