Samsung Electronics announced early today its earnings for the three months that concluded in September that are expected to increase by 58% from a year ago.
Managing earnings for the quarter is expected to be in at 12.3 trillion Korean won which is approximately $10.6 billion. That is above 7.78 trillion won in 2019 the company stated in its earnings guidance. According to Refinitiv SmartEstimate, the number was higher than the 10.5 trillion analysts forecasted for the September quarter.
Consolidated sales were about 66 trillion won for the quarter, higher approximately by 6.5% from 62 trillion won from 2019.
Samsung shares exchanged under 0.33% today, pursuing South Korea’s benchmark index which was higher by 0.16%.
Though Samsung did not present a full analysis of how each business sector performed, experts stated that the September quarter returns were encouraged, by an uptick in smartphone sales and more powerful general memory-related earnings. Mark Newman, the managing director, and senior analyst at Bernstein told on CNBC’s today
“I think a large part of it seems to be smartphone units were up a lot. We did have a chance to talk to the company briefly this morning and seems like the smartphone units have been very, very strong in Q3,” Newman said how there was a retracement in a request for Samsung’s flagship smartphone models including the Galaxy Note 20 and pre-sales of its new foldable phone looked to be doing very good.
Apart from the mobile division, customer electronics and home appliance businesses likely added to Samsung’s solid profits for the third quarter, according to SK Kim, executive director at Daiwa Securities. He told CNBC today that an increase in Samsung’s cost formation, a shift to online marketing programs in the center of the coronavirus pandemic, and pent-up requests improved the company’s earnings.
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Samsung announced a likely increase in profits of 58%
Market Trends - 08/10/2020