Samsung, which saw its electronics business encounter headwinds through much of 2014, said fourth-quarter sales and profits were down substantially from the prior year.

The company reported preliminary sales of approximately 52 trillion won ($47.3 billion) and operating profits of about 5.2 trillion won ($4.7 billion). That’s down from the fourth quarter of 2013, when the company earned 8.3 trillion won ($7.6 billion) on sales of 59.3 trillion won ($54.9 billion). That’s a 12 percent drop in revenue and a decrease of more than 37 percent in operating profit.

However, both sales and profits did increase sequentially from the third quarter, though that was to be expected given the fact the fourth quarter includes the traditionally strong holiday sales period.

The company has seen particularly strong competition in the mobile market, where it has been pressured on the high end by Apple and on the low end by a range of competitors including Chinese companies such as Xiaomi. The company has said it plans to narrow its product line this year and make other changes to better compete in emerging markets.