Samsung credits strong smartphone and mobile display sales for positive Q3 earnings

Samsung found optimism in its latest earnings report despite declining profits and significant losses in recent quarters.

The company attributes its recent income growth to robust sales of its flagship mobile devices and premium displays, which outperformed the previous quarters. Additionally, Samsung's Device Solutions (DS) division, encompassing its memory and foundry businesses, has managed to narrow its losses. The company foresees a gradual recovery in demand for memory chips, driven by the increasing popularity of artificial intelligence.

In Q3 2023, the company posted consolidated revenue of KRW 67.40 trillion ($49.9 billion), marking a 12 percent increase from the previous quarter. Samsung also reported a profit of KRW 2.43 trillion ($1.80 billion), a substantial improvement compared to the $527 million profit reported in Q2.

Finally, the semiconductor division posted operating losses of KRW 3.75 trillion ($2.77 billion) for the quarter, a slight improvement from the previous quarter's KRW 4.36 trillion ($3.23 billion) losses.

The company anticipates improved demand for PCs and mobile devices in the upcoming period, along with strong server demand from cloud service providers driven by generative AI applications.