Samsung Reports Strong Third-Quarter Performance with 12% Q-o-Q Revenue Growth

Samsung Electronics, a global leader in technology and innovation, has released its financial results for the third quarter ending September 30, 2023, with notable growth across multiple segments.
Galaxy S23 from SamsungTotal revenue for the quarter reached KRW 67.40 trillion, marking a significant 12 percent increase compared to the previous quarter. This surge in revenue was attributed to the launch of new smartphones and heightened sales of premium display products, Samsung said.

As a result, the operating profit climbed to KRW 2.43 trillion, driven by the success of flagship mobile models and increasing demand for display technologies. This growth offset the narrowing losses at the Device Solutions (DS) Division.

The company’s performance across key divisions is detailed as follows:

DS Division: Achieved KRW 16.44 trillion in consolidated revenue but faced KRW 3.75 trillion in operating losses during the third quarter.

Memory Business: Recorded improved demand in PC and mobile sectors with the growing adoption of high-density DRAM and NAND products. The completion of customer inventory adjustments and robust server demand for generative AI-oriented, high-density, and high-end products contributed to strong performance, despite sluggish conventional server demand.

Samsung Display Corporation (SDC): Posted KRW 8.22 trillion in consolidated revenue, along with an operating profit of KRW 1.94 trillion in the third quarter.

Mobile Display Business: Witnessed a slight increase in market demand quarter-on-quarter, driven by seasonality and new product launches by major smartphone manufacturers. A focus on premium OLED technology contributed to solid results, highlighting the polarization between high-end and mid-range-and-below markets.

Large Display Business: Improved earnings compared to the previous quarter by emphasizing high-end products, operational enhancements, increased yields, and reduced losses.

MX and Networks Businesses: Recorded KRW 30.00 trillion in consolidated revenue and KRW 3.30 trillion in operating profit during the third quarter. An overall increase in market demand, fueled by a global smartphone market recovery, contributed to these results. Successful launches of new flagship models, strong sales of foldable devices, tablets, and wearables, and the continued momentum of the Galaxy S23 series, introduced in the first half of 2023, supported sales and profitability.

Visual Display and Digital Appliances Businesses: Reported KRW 13.71 trillion in consolidated revenue and KRW 0.38 trillion in operating profit for the third quarter.

Visual Display: Experienced a quarter-on-quarter increase in market demand driven by seasonality but faced a year-on-year decline due to various macroeconomic factors affecting consumer demand.

These results reflect Samsung’s adaptability and resilience in a dynamic market environment. Despite challenges and market fluctuations, the company continues to focus on innovation, high-quality products, and a commitment to meeting consumer needs. Samsung’s strong performance in Q3 2023 underscores its prominent position in the technology industry and its dedication to delivering cutting-edge solutions.