Published: Fri, October 13, 2017
Economy | By Annette Adams

Samsung Elec says Q3 operating profit likely almost tripled from yr ago

Samsung Elec says Q3 operating profit likely almost tripled from yr ago

South Korean tech giant Samsung Electronics Co. said Friday that its third-quarter operating profit is expected to have almost tripled on-year and is poised to set another record. Samsung has two other CEOs each overseeing its mobile phone business and home appliance division.

The company also estimates third-quarter sales of 62 trillion won compared to 47.82 trillion won previous year.

Samsung said its July-September profit was likely 14.5 trillion won ($12.81 billion), compared with an average forecast of 14.3 trillion won from a Thomson Reuters survey of 20 analysts.

Samsung raked in 8.03 trillion won from the chip business in the April-June period in operating profit, along with 4.06 trillion won from the mobile arm.

He cemented Samsung Electronics' position in memory chips and expanded the contract chip manufacturing business.

Samsung Electronics Vice Chairman Lee Jae-yong is now behind bars after a local court found him guilty of bribery and embezzlement in a massive corruption scandal that led to the ousting of former President Park Geun-hye.

Vice Chairman Kwon will also resign as the Chief Executive Officer of Samsung Display.

The consumer electronics division will also benefit from strong seasonal demand, he added.

Kwon has been working as de facto head of the company following the imprisonment of the Samsung heir Lee Jae-yong. Analysts have tipped its chip division to propel the firm to record overall profit. Lee was sentenced to five years in prison after being convicted in August of bribing South Korea's former president to help him increase his power over the company.

The rising presence of Chinese rivals coupled with US trade protectionism headed by President Donald Trump are also major hurdles, they added.

Samsung's stock price briefly hit a record of 2.74 million won per share on Thursday, before rolling back slightly to 2.72 million won per share at the time of publication.

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