Home » Samsung posts report quarterly income on powerful chip need

Samsung posts report quarterly income on powerful chip need

Samsung Z Flip 3, Z Fold 3 sales dwarf previous foldable demand

Samsung explained its cell division acquired a increase from revenue of its new Z Flip 3 and Z Fold 3.

Lexy Savvides/CNET

Samsung on Wednesday documented its maximum-ever quarterly profits, many thanks largely to continued robust demand and increasing costs for memory chips, as very well as income of panel shows for smartphones.

The Korean electronics large claimed its income for the three-thirty day period interval ended Sept. 30 arrived in at 73.9 trillion gained ($63 billion), a 10% enhance around the year-back interval, which was the previous history-setter for revenue. Samsung also described that its working income soared 26% to 15.8 trillion won ($13.4 billion), the 2nd highest in the firm’s historical past.

Samsung could be regarded as a big in phones and TVs, but it also has big businesses creating factors like memory chips. The business has counted on its factors business enterprise to buoy its profits, even though its other electronics have struggled. Because the coronavirus pandemic started, Samsung’s chip business enterprise has gotten a increase from information facilities that count on the know-how to keep everything we’re undertaking on the net.

The firm’s semiconductor organization claimed product sales of 26.4 trillion received in the third quarter, a 16% raise yr-about-calendar year, on ongoing solid demand for servers and PCs as companies opt for hybrid do the job arrangements.

Revenue in Samsung’s cell panel business rose 21% to 8.86 trillion received on strong product sales of little to midsize OLED panels as key smartphone shoppers launched new solutions. Nevertheless, the company’s big-screen business ongoing to suffer from selling price declines in Lcd panels.

Regardless of strong demand from customers for new foldable cellphone products this sort of as the Galaxy Z Fold 3, which was introduced in August, earnings in the firm’s mobile division declined 8% to 27.34 trillion received. Samsung reported before this month that the new Z Flip 3 and Z Fold 3 are more well known than their predecessors but didn’t offer specific product sales details.

The corporation explained it expects need for its smartphones to boost in the fourth quarter because of to robust holiday getaway procuring, but it also warned that considerations over part supplies are possible to carry on.

“The Cell Communications Business enterprise expects to publish robust profitability by expanding product sales of quality goods these as foldable phones, assembly alternative need with reduced- to mid-assortment 5G smartphones and raising revenue of tablets and wearables,” Samsung said in a statement.