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Samsung Q3 earnings rise 26% to a new record, in part from stronger smartphone sales

Posted: , by Alan F.

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Samsung Q3 earnings rise 26% to a new record, in part from stronger smartphone sales
Korean OEM Samsung reported third quarter earnings on Friday and the tech giant announced that for the period, net profit rose 26% to a record high. During the three months, analysts estimate that Samsung sold between 85 million and 89 million smartphones, but with lower end phones making up a larger number of the total units sold, profit margins were down. Samsung's Investor Relations head Robert Yi said that in the current quarter, Samsung is facing tough pricing issues in the premium smartphone market, which could put a damper on the next earnings report. And wearables, led by the new Samsung Galaxy Gear smartwatch, is too much of a niche market at the moment to contribute to earnings.

For the quarter, the company earned a record 8.24 trillion won ($7.76 billion USD) vs. the previous year's 6.56 trillion won ($6.2 billion USD). Revenue rose 13.2% to 59 trillion won ($55.5 billion USD). The previous record for net profit was the 7.77 trillion yen ($7.24 billion USD) scored by Samsung in the second quarter. Growth in operating profit dropped by nearly half sequentially from 47.5% in the second quarter to 26% in the third quarter. While profit in the mobile sector slowed, it still made up 66% of Samsung's operating profits.

Samsung has 50 trillion won ($47 billion USD) in cash, some of which it is using for acquisitions. Like Apple with its $147 billion cash hoard, Samsung is going to have to decide what to do with its pile of money.

source: WSJ

28 Comments
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posted on 24 Oct 2013, 22:33 9

1. PapaSmurf (Posts: 8282; Member since: 14 May 2012)


Holy mother of God that's a lot of money.

posted on 24 Oct 2013, 22:42 8

5. AwesomestMaximuss (Posts: 116; Member since: 09 Jul 2013)


And thats just the mobile department of Samsung..

posted on 25 Oct 2013, 00:16

15. Napalm_3nema (Posts: 929; Member since: 14 Jun 2013)


That's all of Samsung Electronics. The mobile division's growth was minor, but still strong profits. The semiconductor arm doubled their business.

posted on 24 Oct 2013, 22:47

10. HouTexan (Posts: 311; Member since: 08 Jan 2012)


Lmao Yup

posted on 24 Oct 2013, 23:52 7

13. SAYED-EJAZ (Posts: 224; Member since: 10 Oct 2013)


Samsung Rocks , love samsung !

posted on 24 Oct 2013, 22:40 5

2. kryme (Posts: 140; Member since: 24 Oct 2013)


and yall think samsung is doing something bad?????

posted on 24 Oct 2013, 22:42 9

4. PapaSmurf (Posts: 8282; Member since: 14 May 2012)


Obviously they're doing something right if they earned that much in one quarter. Haters are always going to hate.

posted on 24 Oct 2013, 22:45 3

7. kryme (Posts: 140; Member since: 24 Oct 2013)


so tru....

posted on 24 Oct 2013, 22:41 2

3. gigaraga (Posts: 924; Member since: 29 Mar 2013)


Go Samsung!~ Probably richer than all the other 'Android' phone makers. They don't stand a chance.

posted on 24 Oct 2013, 22:43 5

6. PapaSmurf (Posts: 8282; Member since: 14 May 2012)


Samsung's earnings = HTC's, Sony's, Motorola's, and LG's earnings combined

posted on 25 Oct 2013, 00:19 7

17. wicpromd (Posts: 266; Member since: 20 Aug 2013)


Including 'Nokia' too
How can someone forget one of the biggest 'Loser' Brand :D

posted on 24 Oct 2013, 22:46

8. HouTexan (Posts: 311; Member since: 08 Jan 2012)


The other OEM's aren't even close

posted on 24 Oct 2013, 23:54 1

14. SAYED-EJAZ (Posts: 224; Member since: 10 Oct 2013)


Other OEMs can only withstand and see samsungs power ..!

posted on 24 Oct 2013, 22:46 8

9. YouGotTrolledSon (banned) (Posts: 41; Member since: 25 Nov 2012)


Now you stfu Samsung haters?

posted on 24 Oct 2013, 22:52 7

11. PapaSmurf (Posts: 8282; Member since: 14 May 2012)


Nope. They'll find ways to 'prove' that Samsung is the worst and they 'copy' every OEM.

posted on 25 Oct 2013, 02:44

19. kostas12ldb (Posts: 51; Member since: 18 Feb 2013)


The fact that they copy other OEMs might be true, but they sure do a GOOD JOB! Results are excellent.

posted on 24 Oct 2013, 22:58 10

12. GeekMovement (Posts: 1501; Member since: 09 Sep 2011)


Loving my Note II.

posted on 25 Oct 2013, 10:05

27. Razrman (Posts: 68; Member since: 05 Dec 2011)


Same here.

posted on 25 Oct 2013, 00:16 5

16. wicpromd (Posts: 266; Member since: 20 Aug 2013)


Samsung FTW
Combine Nokia , sony ,htc ,lg or whatever
still Samsung rules.......

posted on 25 Oct 2013, 02:39

18. kostas12ldb (Posts: 51; Member since: 18 Feb 2013)


OK! Profits are good and all!
Now GIVE US the freakin 4.3 for our Note 2, which still runs the ancient 4.1.2!!!!!!!!!!!
The phone was a flagship 11 months ago, and most ppl bought it for more than 700 euro, remember!!!!!!

posted on 25 Oct 2013, 03:18

21. joey_sfb (Posts: 2909; Member since: 29 Mar 2012)


Hope their 4.3 for note 2 would have the same feature set as note 3. I would be watching as i own both.

posted on 25 Oct 2013, 03:22

22. kostas12ldb (Posts: 51; Member since: 18 Feb 2013)


I dont think they'll do that, just to give you one more reason to upgrade from N2 to N3. :)
That's the usual strategy (for all OEMs).

posted on 25 Oct 2013, 04:19

25. kabhijeet.16 (Posts: 636; Member since: 05 Dec 2012)


They provided Android 4.1.2 to Galaxy SII (2011 device). May be they will skip 4.3 and directly give 4.4 updates. They did this in the past with Galaxy Advance and some other handsets and tablets.

posted on 25 Oct 2013, 02:51 4

20. Tsepz_GP (Posts: 819; Member since: 12 Apr 2012)


Another very hard pill to swallow for the haters!

Great work by Samsung :)

posted on 25 Oct 2013, 04:01 2

23. ifti313 (Posts: 16; Member since: 08 Jun 2013)


time to get healous htc n others ;) :P

posted on 25 Oct 2013, 04:01

24. ifti313 (Posts: 16; Member since: 08 Jun 2013)


jealous*

posted on 25 Oct 2013, 07:24 1

26. rusticguy (Posts: 2828; Member since: 11 Aug 2012)


Apple's legal team gets busy now :)

posted on 25 Oct 2013, 10:29

28. freebee269 (Posts: 521; Member since: 10 Aug 2012)


i have 2 samsung 1080p led tv's, so i contributed to their profit earnings. samsung tv's are my favorite. i also like their players like bluray and dvd.

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