Samsung's second quarter financial report shows that the company's profits are falling as a result of smaller smartphone sales. When compared to the same period of time in 2013, Samsung saw a 24 percent decline in overall profits in this year's Q2. A growth in competition throughout some growing markets has resulted in less interest in Samsung's phones.

As Samsung tries to push further into the entry-level smartphone market, it will likely see larger profits in the latter part of 2014.