Samsung published its financial results for July-September 2024, with both revenue and operating profit improving year-on-year. The largest contributor was the DS division, which consists of the memory, system LSI and foundry activities. It saw a 78% increase in sales and a 200% increase in total profits of KRW 3.86 trillion.
Its MX division, which sells Galaxy phones, tablets and accessories, posted a modest 3% increase in sales but a 14% decline in profits as the market was impacted by global inflation.
| (all units in KRW/USD) | Q3 2024 | Q2 2024 | QoQ change | Q3 2023 | YoY change |
| Mobile experience Sale |
30.52 trillion/ 22.13 billion |
27.38 trillion/ 19.86 billion |
11% | 30.00 trillion / 21.76 billion |
2% |
| Mobile experience Business profit |
2.82 trillion/ 2.04 billion |
2.23 trillion/ 1.61 billion |
26.5% | 3.30 trillion/ 2.39 billion |
-14.5% |
| Total turnover | 79.10 trillion/ 57.38 billion |
74.07 trillion/ 53.72 billion |
7% | 67.40 trillion/ 48.89 billion |
17% |
| Total profit | 9.18 trillion/ 6.65 billion |
10.44 trillion/ 7.57 billion |
-12% | 2.43 trillion/ 1.76 billion |
277% |
Samsung revealed that smartphone demand rose only slightly in the third quarter. Sales figures were high thanks to improved flagship models, and despite material costs, profits gradually improved.
Expectations for the next quarter are that the market will grow due to seasonality, including the holidays in Western Europe and the US – Thanksgiving, Black Friday and Cyber Monday deals, Christmas and New Year.
The memory business remained strong, thanks to companies’ investments in AI and conventional servers. Some inventory adjustments impacted mobile demand, leading to increased channel inventories and purchasing demand adjustments.
The prospects for the future are that the market trend will remain similar. However, geopolitical issues and stimulus packages could impact this; For example, China could decide to invest in local companies, and the United States could do the same, which would effectively hurt Samsung’s performance.