Samsung has revealed a 76 per cent increase in profits for the last three months of 2012, with sales of its Galaxy smartphones a key contributor.

The Korean company’s net income rose to a record 7.06 trillion won (US$6.6 billion), a substantial increase on the 4.01 trillion won recorded during the same period last year, smashing the expectations of many analysts.

Last year was very successful for the company, as it became the world’s main player in making smartphones, overtaking its main rival Apple.

Analysts have attributed Apple’s difficulties to disappointing sales of its new iPhone 5.

But Samsung has seen its profits driven by the success of the Galaxy smartphones and tablets.

Despite its success, the company did warn that competition in the smartphone sector could lead to softening demand.

It is that warning that analysts claim has caused Samsung’s shares to slip on some European markets.

GB