Samsung announced strong third-quarter earnings guidance to investors on Friday despite its exploding smartphone woes, thanks in part to the company's component and display panel business.

The Korean technology firm said it expects to earn $7 billion in operating profit for the three months ended September 30 – a 5.5 percent improvement from a year earlier – in a quarter that includes Samsung's recall of 2.5 million Galaxy Note 7 smartphones.

Samsung_Logo
The company's final earnings won't be released until later in October, but the profit preview demonstrates Samsung's ability to rely on other phone and PC makers to drive sales, and underlines the robustness of Samsung's diversified business model during difficult times.

The company is now the undisputed market leader in DRAM memory chips and next-generation 3-D NAND flash memory chips. Samsung also has a substantial lead over its rivals in sales of OLED panels, which are increasingly being adopted for use in smartphones. Currently, Apple's only supplier signed on to create OLED displays for the iPhone 8 is Samsung.

The exploding Note 7 debacle has dominated headlines recently, with a U.S. passenger plane being evacuated just this week when one of the phones began emitting smoke. Shares dipped 13 percent following initial reports of the widespread problem, which analysts estimate cost the company between $1 and $5 billion, not discounting significant damage to its smartphone brand. And yet shareholders' confidence in Samsung's semiconductor and display manufacturing have seen shares rebound into record territory.

Expectations for corporate governance changes have also fueled some of the recent gains, according to The Wall Street Journal. A day before Samsung's Q3 earnings preview, shares jumped 4.5 percent to a new record high after U.S. activist investor Elliott Management Corp. argued that Samsung was undervalued by as much as 70 percent.

After the release of its earnings preview, Samsung's stock increased by an extra 0.9 percent to finish above the 1,700,000-won mark for the first time in its history.

Tag: Samsung

Top Rated Comments

Abazigal Avatar
98 months ago
Apple authors. Where is the news? (Latest news)

FRESNO WOMAN SAYS HER IPHONE EXPLODED AND CAUGHT ON FIRE IN HER BEDROOM

http://abc30.com/news/fresno-woman-says-her-iphone-exploded-and-caught-on-fire-in-her-bedroom/1543292/

There are plenty of reports recently about iPhone 6 and 7 explosions as well. But they are no news about that. What a shame! Apple media are very good at masking Apple problems.
Let's put it this way.

Even pro-Android websites are focusing overwhelmingly on the Note 7 issue, and aren't covering any similar situations with the iPhone. You think they would be the first to pounce on such news.

Nice try with the conspiracy theories though.
Score: 30 Votes (Like | Disagree)
Mac Fly (film) Avatar
98 months ago
If iPhones were exploding at the rate Note 7's are, including replacement models—on airplanes!—the media and everyone in between would be calling for Tim's assassination. Public hanging locations would be discussed. Time Square and a giant cross the centre of Apple Campus 2 would rank among suggestions. The Verge article would be twice as long with innuendo and video after video and would subsequently stretch to 16 articles. The author would suggest Steve Jobs coffin be exhumed to check for burn marks. And online, in general, beyond English a new language would be developed specifically to make fun of iPhone with sentences never before thought possible. Beats would be mentioned.
Score: 26 Votes (Like | Disagree)
Jsameds Avatar
98 months ago
Apple authors. Where is the news? (Latest news)

FRESNO WOMAN SAYS HER IPHONE EXPLODED AND CAUGHT ON FIRE IN HER BEDROOM

http://abc30.com/news/fresno-woman-says-her-iphone-exploded-and-caught-on-fire-in-her-bedroom/1543292/

There are plenty of reports recently about iPhone 6 and 7 explosions as well. But they are no news about that. What a shame! Apple media are very good at masking Apple problems.
Every device that uses a lithium ion battery has a chance of exploding, iPhones, Galaxys, Nexus' - all of them. All manner of devices explode all the time for a multitude of reasons.

What sets the Note 7 apart is the frequency it's happening per unit sold, it's thousands of times more frequent than any other device, hence the recall. It's just basic statistics.

If MR decided to report on every time a phone exploded there'd be an article a day, that's why they don't do it. Nothing to do with "masking Apple problems".
Score: 17 Votes (Like | Disagree)
Jsameds Avatar
98 months ago
iPhone 6 and 6 plus are exploding (2014-2016), Check out google "iPhone fire" (100 news..). Did they fix that?
Seriously? I literally just explained this to you an hour ago..

C'mon if you're going to troll at least do it well.
Score: 13 Votes (Like | Disagree)
Mac Fly (film) Avatar
98 months ago
The irony that those bashing Samsung on here don't realise the iPhone likely wouldn't exist without all of the Samsung components.
Yes it would. Apple uses Samsung against other suppliers for price competition. Every Samsung component in iPhones is also made by others. Samsung lose as many contracts as they win. A10 is fabbed by TSMC. There's no irony.
Score: 11 Votes (Like | Disagree)
keysofanxiety Avatar
98 months ago


The jump they have on Apple in terms of hardware is being hampered only by the software.
Pahahahahaha. The iPhone 7 has double the single-core CPU performance. Not to even mention the NAND & RAM speed.

What 'jump' are you talking about? A curved display with rotten burn in? Apple have the long game completely in the bag.
Score: 11 Votes (Like | Disagree)

Popular Stories

apple tv 4k yellow bg feature

When to Expect a New Apple TV to Launch

Tuesday April 9, 2024 8:30 am PDT by
It has been nearly a year and a half since the current Apple TV was released, so the device is becoming due for a hardware upgrade. Below, we recap rumors about the next Apple TV, including potential features and launch timing. The current model is the third-generation Apple TV 4K, announced in October 2022. Key new features compared to the previous model from 2021 include a faster A15...
iPhone 16 Pro Sizes Feature

Alleged iPhone 16 Battery Details Show Smaller Capacity for One Model

Tuesday April 9, 2024 3:46 am PDT by
Apple's upcoming iPhone 16 lineup will feature bigger battery capacities compared to previous-generation models with the exception of the iPhone 16 Plus, which will have a smaller battery than its predecessor. That's according to the Chinese Weibo-based leaker OvO Baby Sauce OvO, a relatively new source of supply chain leaks with an as-yet unproven track record for accuracy. The iPhone 16 ...
iPhone 16 Camera Lozenge 2 Colors

iPhone 16 Plus Rumored to Come in These 7 Colors

Wednesday April 10, 2024 3:52 am PDT by
Apple's iPhone 16 Plus may come in seven colors that either build upon the existing five colors in the standard iPhone 15 lineup or recast them in a new finish, based on a new rumor out of China. According to the Weibo-based leaker Fixed focus digital, Apple's upcoming larger 6.7-inch iPhone 16 Plus model will come in the following colors, compared to the colors currently available for the...
M3 iPad Feature 3

Apple Event for New iPads Still Considered 'Unlikely' Following Delays

Tuesday April 9, 2024 6:37 am PDT by
Apple is "unlikely" to hold an event to announce new iPad Pro and iPad Air models, according to sources cited by Taiwanese supply chain publication DigiTimes. Bloomberg's Mark Gurman already said Apple was not planning to hold an event for the new iPads, but he made this claim back in early March, before it was reported that the devices were postponed due to manufacturing delays. With the...
apple silicon feature joeblue

Macs to Get AI-Focused M4 Chips Starting in Late 2024

Thursday April 11, 2024 10:10 am PDT by
Apple will begin updating its Mac lineup with M4 chips in late 2024, according to Bloomberg's Mark Gurman. The M4 chip will be focused on improving performance for artificial intelligence capabilities. Last year, Apple introduced the M3, M3 Pro, and M3 Max chips all at once in October, so it's possible we could see the M4 lineup come during the same time frame. Gurman says that the entire...
iOS 18 WWDC 24 Feature 2

iOS 18 May Feature All-New 'Safari Browsing Assistant'

Wednesday April 10, 2024 6:11 am PDT by
iOS 18 will apparently feature a new Safari browsing assistant, according to backend code on Apple's servers discovered by Nicolás Álvarez. MacRumors contributor Aaron Perris confirmed that the code exists, but not many details are known at this time. Álvarez said it seems like the browsing assistant will use iCloud Private Relay's infrastructure to send relevant data to Apple in a...