Samsung Electronics closes the third quarter more than doubling net earnings year-over-year, thanks above all to the sale of components, starting from microchips and memories, and the recovery of sales in the smartphone sector with the Galaxy Note 8.
In fact, quarterly net profit rose from 4.540 to 11.190 billion won (9,95 billion dollars), on revenues up 30% to 62.050 billion won. Operating profit set a record, rising from 5.200 to 14.530 billion won. The microchip division achieved record operating profits of 9.960 trillion won, buoyed by surging demand, pushing up product prices due to undersupply on demand. Semiconductors alone accounted for about 69 percent of the company's operating profit in the third quarter, a record since second quarter 2010. The division's profit margin is 50 percent and fourth-quarter capital expenditures, the company said. , will still focus on the semiconductor business. On the other hand, the operating profit of the display division fell by 5%.
Samsung also said it will pay a total of 4.800 trillion won in dividends this year. 20% more than last year. From 2018 to 2020, Samsung will pay a dividend payout of 29.000 trillion won, double this year's.
The results come within weeks of resignation of CEO and chairman Kwon Oh-Hyun. Just today the South Korean group announced that Lee Sang-hoon, currently CFO, will become the new president. Kim Ki-nam, 59 years old, will succeed Kwon Oh-Hyun as head of the screen division, Kim Hyun-suk, Aged 56, he will succeed Yoon Boo-Keun in consumer electronics and Koh Dong-jin, Aged 56, he will replace JK Shin in the smartphone unit. The current governance organized around three men in command will therefore remain in force.
