Samsung earnings: Galaxy Note 7 burns profit
Samsung Electronics today announced financial results for the third quarter ended Sept. 30, 2016. Samsung's revenue for the quarter was KRW 47.82 trillion, a decrease of KRW 3.87 trillion from a year earlier, while operating profit for the quarter was KRW 5.20 trillion, a decrease of KRW 2.19 trillion.
Profit for Samsung's mobile division came in at 0.1 trillion won, plunched 96 percent year-on-year from 2.4 trillion won, and down 98 percent compared to last quarter's 4.32 trillion won profit for the division. A large drop in mobile profit had already been expected following the recall of the Galaxy Note 7 due to faulty batteries.
With the mobile division in decline, the profit centre for Samsung Electronics in Q3 2016 was the semiconductor division. This unit posted 4.4 trillion won in operating profit, a drop of 0.26 trillion won on this time last year. Revenue for semiconductors was up 3 percent. Samsung's display panel business saw a 6 percent drop.