Samsung Estimates 3Q Profit Growth After Two Years of Declines With Help From Apple

Samsung Estimates 3Q Profit Growth After Two Years of Declines With Help From Apple

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Samsung is estimating third-quarter profit growth for the first time in two years; but the rebound isn't based on smartphone sales.

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...

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Samsung Estimates 3Q Profit Growth After Two Years of Declines With Help From Apple
Great - October 8, 2015 at 2:52am
Wait, Samsung needs Apple's help to make profit? So they must love Apple then. And so should their fans.
Stfumoronsheep - October 9, 2015 at 8:59am
And yet Apple relies on Samsung to supply them their chip sets for their iPhones. Your comment should be marked as invalid to your rather, yet not so surprising, stupidity.
PHUKAI - October 7, 2015 at 8:34pm
Here's a tip for them to stop lossing profits. 1. Don't co pare ypurself to someone always better thsn you in ads. 2. son't make cheap knockoff versions of the real thing Apple makes. 3. Improve what you're only good at- home appliances. The only thing they're good at.
PHUKAI - October 7, 2015 at 8:34pm
comapre, yourself, than, don't*
PHUKAI - October 7, 2015 at 8:35pm
compare** damn autocorrect
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