Reuters report that Samsung’s latest financial figures showed a quarterly operating profit of $9.6 billion which is a record breaking figure for Samsung. The figures were in-line with internal estimates and profits were abundant in both the chip-making business and the smartphone business. Samsung says profits at its chip-making division, which produces NAND Flash, DRAM and other similar things, were the highest in three years at $1.94 billion. These super-high chip making profits were helped by the fact the SK Hynix fire in China a few months ago forced DRAM prices up quite substantially.
Samsung’s mobile division unsurprisingly generated the most revenue for Samsung with a huge $6.31 billion in profits thanks to rapidly growing Galaxy smartphone sales in the budget market segment, as well as in emerging markets like China and South America. Apparently the sale of these budget handsets helped counteract the declining sales of more expensive handsets like the Galaxy S4, pictured above.
“It vacuumed up most of the lower-end market share, which most of the second-tier players were fighting for,” said Park Kang Ho, a Seoul-based analyst at Daishin Securities Co. “Third-quarter sales of Galaxy 4 slowed, but other lower-end Galaxy lineups, including Mini and S3, were able to make up for it.” (Via Bloomberg)
Image courtesy of Samsung
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