Samsung's profits had taken a dive due stiff competition from Apple and low price Chinese smartphone alternatives. However, the company announced today that its operating profit for the three months ending September 30th likely rose 79.8% to about $6.3 billion USD. Revenue is also up about 7.5%.
The WSJ reports that the increase in profitability is not due to mobile but rather chips and displays.
While the mobile-phone business isn’t likely to see a significant rebound as growth in global demand for smartphones cool amid saturated markets, Samsung’s earnings are being powered by strong growth in its chip business due to tight supply and firm pricing, analysts say. Samsung’s chip unit likely accounted for about half of the company’s profit in the third quarter, analysts said, while strong sales of displays to Chinese smartphone makers also contributed to its bottom line.
Notably, Samsung is manufacturing one of the A9 chips used in the iPhone 6s which likely helped propel its profit growth.
More details at the link below...