Samsung Forecasts Double-Digit Growth in Q3

Samsung announced it expects double-digit growth in profitability in the third quarter of 2021. It will be driven by continued robust demand for semiconductors and its new foldable smartphone lineup and benefiting from rising chip prices due to an ongoing worldwide shortage.

The vendor estimated consolidated operating profit for the July to September period would jump 27.9 percent year-on-year to KRW15.8 trillion ($13.4 billion), with total revenue rising 9 percent to KRW73 trillion. Analysts credit the strong gains to rising memory chip prices, which fueled improved profitability of its semiconductor business, accounting for about half of its H1 operating profit.

The earnings guidance didn’t reveal net profit targets or break down revenue by division. It will report full earnings later this month. Earlier in the week, the company said sales in South Korea of its Galaxy Z Fold 3 and Flip 3, released on 11 August, hit 1 million on 4 October, making them among its fastest selling models ever.