” As the COVID-19 pandemic continues around the world, reopening of key economies led to a significant increase in demand of consumers,” Samsung says in a statement. “Samsung Electronics was able to respond aggressively through flexible global supply chain management, reporting its highest-ever quarterly profits.”
Samsung Electronics has declared quarterly income for the July-September 2020 period, making 66.96 trillion won in income and 12.35 trillion in working profit. That is the most elevated quarterly income figure ever for the Korean electronics giant, which says that it had the option to meet a lift in customer demand following the COVID-19 disturbance.
Samsung says that an expansion sought after for cell phones helped drive the revenue figures while operating profit saw a 59 percent year-on-year increment that the company puts down to more grounded deals of both memory chips and customer products. Part of the hop in memory demand was a direct result of Huawei, which put in critical requests in front of US sanctions producing results a month ago.
However, Samsung warned of lower profits in the coming quarter due to an expected plunge in memory demand and higher competition in the smartphone market. It’s worth noting that while Samsung launched several flagship phones in the previous quarter, including the Galaxy Note 20 line, the Galaxy Z Fold 2, and the Galaxy Z Flip 5G, Apple’s annual iPhone 12 launch suffered a rare slip into October.
It means that Samsung was able to inaugurate its new smartphones without going up against its biggest competitor in several major markets. Elsewhere, though, Huawei’s sanctions-induced smartphone decline will present an opportunity for both companies to compete for the extra market share. The later iPhone launch will also give a boost to Samsung’s OLED display business.
Looking to the coming year, Samsung says it plans to focus further on foldable phones as a way to differentiate its flagship lineup, while also seeking to make 5G more of a mass-market proposition.