Samsung reported its biggest quarterly profit of all time this year, backed by its memory chip and other hardware component sales instead of smartphones.
The South Korean giant supplies electronic components to some of the largest buyers on Earth, including Apple, and has managed to score a huge 21 percent increase in operating profit as compared to the same quarter of last year.
The World’s Largest Chipmaker
This year, Samsung’s third quarter operations turned 17.57 trillion won ($15.4 billion) in operating profits after a revenue of 65.46 trillion won ($57.48 billion), which itself is a 5.5 percent increase over the same period last year.
And, the interesting bit is that the sales aren’t exactly backed by the company’s international smartphone business, but rather its memory chip sales.
Most smartphones, especially high-tier flagships, are known to use Samsung-made components, like display panels and semiconductors in their devices, making Samsung the largest semiconductor fabricator on the planet.
However, according to the financial reports, the company’s mobile division has not managed to make the numbers this time. The mobile division’s current operating profit of 2.22 trillion won ($1.94 billion) comes after a decline of a massive 32 percent from the previous year. Revenues, too, have reduced by 10 percent.
2019 – Samsung’s Big Year
As reported earlier, Samsung lost a major chunk in the market when it launched the Galaxy S9 duo. The company made “less than stellar” sales that quarter but has managed to stay afloat thanks to its mid-range smartphone sales.
For this year, the Seoul-based electronics company is expecting a fair bump in its smartphones sales and is expected to make a significant impact in the market after it launches its upcoming Galaxy S10 (or whatever it gets called) flagship.
It’s going to be a big year for Samsung, as it’s also likely to be among the first smartphone makers to unveil a foldable display device – the Galaxy X. This device might make its first appearance in November at Samsung’s Developer Conference.