Samsung reported a record profit for Q3
South Korean group Samsung Electronics, the largest TV and smartphone manufacturer in the world, reported a record profit for Q3, higher than analysts’ expectations, and increased its lead over Apple in smartphone sales, due to the popularity of Galaxy range.
Operating profit rose by 91% to 8,100 billion won ($7.3 billion) in the three months ended in September, Samsung announced. Analysts polled by Bloomberg anticipated a profit of 7,580 billion won.
The profit in the mobile division rose by 93%, supported by the launch in May of Galaxy S III and Note, offsetting a decline in profit from selling memory chips, said several analysts for Bloomberg. TV sales have also contributed to the Samsung financial results.
“Smartphones had very solid results. Deliveries increased significantly and calmed the worries that funds allocated for marketing affected profit,” said Kim Young Chan, an analyst at Shinhan Investment Corp in Seoul.
The won has appreciated to a maximum of 11 months on Friday, a situation which has usually a negative impact on foreign profits of local companies. Samsung made 84.5% of its revenue outside South Korea, according to Bloomberg calculations.
Sales in the third quarter amounted to 52,000 billion won, compared with analysts’ estimates of 51,600 billion won. Operating profit may be 200 billion won higher or lower than the preliminary estimates Samsung announced Friday. The group will publish final data later this month.
Samsung probably shipped 57.1 million smartphones in the third quarter, according to estimates of Daishin Securities. The group should overcome the record 50.5 million smartphones shipped in the previous quarter.
Rival Apple outpaced on the smartphone world market only by Samsung, began selling in September the iPhone 5. The U.S. company reported sales of over 5 million units in the first weekend lower than estimates of analysts because of supply chain limitations.
Samsung and Apple are involved in several lawsuits related to patents, part of attempts to control the global smartphone market, estimated at $219 billion.
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