Samsung's profit plunges over Note 7

     Written by : IANS | Thu, Oct 27, 2016, 02:47 AM


Indrakaran Reddy about Yadagirigutta temple

Seoul, Oct 27 : South Korean tech giant Samsung Electronics' net profits in the third quarter dropped by a massive 16.8 per cent, primarily due to the Galaxy Note 7 discontinuation, the company announced on Thursday as the shareholders approved the nomination of Vice Chairman Lee Jae-yong to the electronics giant's board of directors.

According to Yonhap news agency, top market cap Samsung Electronics rose 0.38 percent to end at 1,573,000 won after the nomination news, signalling that the only son of the ailing Chairman Lee Kun-hee will more actively participate and take formal responsibility in the company's important decision-making.

Earlier in the day, the company announced that operating profit dropped 29.7 per cent from a year earlier to 5.2 trillion won ($4.6 billion) in the July-September quarter. From three months ago, the profit tumbled 36.2 per cent.

It marked the lowest in two years, meeting the revised estimate by Samsung which slashed its preliminary forecast by 2.6 trillion won to reflect costs from the discontinuation of its fire-prone smartphone.

"We know we must work hard to earn back your trust and we are committed to doing just that," co-chief executive JK Shin was quoted as saying in media reports after the results were announced.

Scores of reports about Note 7 phones heating up and catching fire led Samsung to terminate its latest flagship model. Hundreds of owners of the device here have sued Samsung for inconvenience they experienced in the recall and termination process.

The company's revenue declined 7.5 per cent over the year to 47.82 trillion won in the September quarter, the lowest since the first quarter of last year. From the previous quarter, the revenue was down 6.1 per cent.

Net income dropped to 4.54 trillion won in the third quarter from 5.46 trillion won a year earlier. From three months ago, the net income plunged 22.4 per cent.

However, the Consumer Electronics Division achieved solid earnings growth driven by strong sales of SUHD TVs and premium home appliances.

The company estimated that the stronger Korean won against major currencies in the third quarter negatively impacted operating profit by approximately 700 billion won, mostly on the components business side.

"Looking ahead to the fourth quarter, the company expects earnings to improve year-on-year driven by strong performance in the components business. The mobile business expects a recovery in its earnings to a similar level with that of the fourth quarter of 2015, led by solid sales of the Galaxy S7 and S7 edge," Samsung said in a statement.

Looking to 2017, the company will focus on achieving earnings growth through normalisation of the mobile business while improving earnings for the components businesses.

"Regarding the mobile business, the company will focus on expanding sales of new flagship products with differentiated design and innovative features, as well as regaining consumers' confidence," the company said.

Samsung saw significant growth in the semiconductor business. The semiconductor business posted 13.15 won trillion in consolidated revenue and 3.37 trillion won in operating profit for the quarter.

"In particular, demand for memory chips saw a remarkable increase, due mainly to high-density, high-performance mobile and server products, including V-NAND based SSD," the company noted.

As for 2017, the company anticipates a turnaround with the launch of new flagship smartphones.







  • Ola,Uber Cab drivers held a strike in Hyderabad

    Hyderabad, Oct 23: The Uber and Ola cab owners and drivers went on a strike for intensifying their fight for better wages and fairer share in profits here on Monday. The Hundreds of cabs attached ..

    Written by : IANS | 01:26 PM
  • Japan PM Shinzo Abe won the elections

    Tokyo OCt 23: Japanese Prime Minister Shinzo Abe has once again won the election today. PM conservative coalition has won 311 seats in the 465-seat parliament.earlier he has given a shock to the oppo ..

    Written by : IANS | 01:10 PM
  • India Squad For T20 Series against Black Caps

    New Delhi, October 23: The BCCI has announced India's squad for three Twenty20 internationals against New Zealand next month. The uncapped pair of batsman Shreyas Iyer and fast bowler Mohammed Sira ..

    Written by : IANS | 01:09 PM
  • Pawan Kalyan Launched NTR's New Film

    Hyderabad, October 23: Tollywood Young Tiger Jr NTR's 28th movie was launched today officially with a formal pooja ceremony. Pawan Kalyan was the chief guest for the film launch event.NTR attended ..

    Written by : IANS | 12:52 PM
  • Revanth Reddy reacted on speculations over him

    Hyderabad, Oct 23: The Telangana TDP working President Revanth Reddy has suddenly sprung into the limelight after many rumors doing rounds in media hinted that he would likely join the Congress Party ..

    Written by : IANS | 11:57 AM
  • Uniform Civil Code-A gigantic task

    Nowadays so many incidents are taking place in our country concerning marriages, divorces, adoptions, guardianship of children, inheritance of property etc are whetting our brains with serious though ..

    Written by : IANS | 11:36 AM
  • Saaho First Look out

    Hyderabad, October 23: Tollywood Actor Prabhas-starrer 'Saaho' is being keenly awaited by his fans all across the world. The actor who created magic on screen with the ‘Baahubali’ series gained in ..

    Written by : IANS | 10:44 AM
  • Grading of Hospitals-a new plan by CM KCR

    Irrespective of financial status, health conditions taunt young and old, children educated or uneducated, male or female.Nowadays due to change of food habits, environmental effects hitherto unheard o ..

    Written by : IANS | 10:42 AM
  • Happy Birthday Prabhas

    Hyderabad, October 23: The Tollywood Young Rebel Star Prabhas (Baahubali), who turns 38 today, is one of the most valuable gifts from the Telugu film industry to Indian cinema. The Actor is no long ..

    Written by : IANS | 10:38 AM
  • BJP declares candidate for Chitrakoot bypolls

    New Delhi, Oct 22: The Bharatiya Janata Party (BJP) on Sunday declared Shankar Dayal Tripathi as its candidate for the November 9 by-election to the Chitrakoot assembly seat in Madhya Pradesh's Satna ..

    Written by : IANS | 11:16 PM
  • Opposition leaders to meet on Monday

    New Delhi, Oct 22: Leaders of various opposition parties will meet on Monday to discuss their future strategy against the National Democratic Alliance government and also to put up a united front ahea ..

    Written by : IANS | 11:06 PM
  • Kohli rues poor batting by India

    Mumbai, Oct 22: India skipper Virat Kohli ruled that the hosts fell 30 to 40 runs short following a six-wicket loss to New Zealand in the first One-Day International here on Sunday. The Indian bats ..

    Written by : IANS | 11:03 PM
  • Seven arrested for assaulting traffic sergeant

    Kolkata, Oct: Seven persons were arrested on Sunday for assaulting a Kolkata Police traffic sergeant here, police said. The incident took place at the Panditiya Road-Hazra Road crossing in south Ko ..

    Written by : IANS | 08:24 PM
  • Karnataka fans to build Temple for Jr NTR

    Hyderabad, October 16: Tollywood Young Tiger NTR has been in tremendous form with back to back hits like Temper, Nannaku Prematho, Janatha Garage, Jai lava Kusa, these films earned the lot fans from t ..

    Written by : IANS | 11:33 AM
  • Nivetha Thomas Accidental Birthday

    Hyderabad, October 15: Popular Actress Nivetha Thomas who has been in tremendous form after the success of Jai Lava Kusa. Many fans mistakenly thought today is the birthday of actress Niveth Thoma ..

    Written by : IANS | 03:57 PM
  • Another Path Braking character for Ramya Krishna

    Hyderabad, October 15: Tollywood Sivagami Ramaya Krishna has started her Second Innings with the flick Baahubali in which Sivagami character attracted the audience very much. Earlier, she played so ..

    Written by : IANS | 11:52 AM
  • Mahesh Babu Decided to give Remunaration

    Hyderabad, October 15: Superstar Mahesh Babu latest flick Spyder didn't succeed at the box office as expected, so he decided to give his part of the remuneration of the producer. According to the ..

    Written by : IANS | 10:48 AM
  • Samantha honeymoon delayed, why?

    Hyderabad, October 14: Actress Samantha is now enjoying the success of her recent film Raju Gari Gadhi 2, in which she played the character quite superb, from this aspect many of the audience were pra ..

    Written by : IANS | 12:01 PM
  • Anushka to romance Venkatesh once again

    Hyderabad, October 13: Tollywood Beauty Anushka has done several biggest films in her career, in which Baahubali and Rudramadevi garnered the immense response from all fans. Especially Devsena Charact ..

    Written by : IANS | 10:25 AM
  • Hariteja replaces Rashmi in extra Jabardasth

    Hyderabad, October 12: Currently, television lovers are watching Jabardasth, and Extra Jabardath frequently, Anchor Anasuya and Rashmi are doing the anchor role in the two programs. Bigboss show ce ..

    Written by : IANS | 11:49 AM
  • Akshara or Shriya Sharma in Arjun Reddy remake?

    Chennai, October 10: Vijay Devarakonda earned immense fame for his role in 'Arjun Reddy'. It is known news that Chiyaan Vikram's son Dhruv is making his acting debut with Tamil remake of Arjun Reddy. ..

    Written by : IANS | 04:03 PM
  • OMG!! Arjun Reddy teaming up flop Director!!

    Hyderabad, October 10: Vijay Deverakonda latest sensation Arjun Reddy movie has bagged the immense response from the audience, from this film the craze of the actor was doubled, right he is one of the ..

    Written by : IANS | 02:51 PM
  • 200 cr budjet for Kamal Hasan 'Indian 2'

    Chennai, October 09: Director Shankar is currently busy with the post-production work of Robot 2.0, starring Superstars Rajinikanth and Akshay Kumar in the lead roles. After the film, The Director ..

    Written by : IANS | 10:46 AM
  • PSPK 25 film title Unveiled

    Hyderabad, October 08: Power Star Pawan Kalyan 25th film is now under the Direction of Trivikram Srinivas.So many rumors have emerged regarding the title of the film .Many titles have emerged in the ..

    Written by : IANS | 03:30 PM
  • Naga chaitanya Next film updates

    Hyderabad, October 07: Akkineni Naga Chaitanya is reuniting with Sitara Entertainments banner after Premam. The yet to be titled film is going to be directed by Maruthi. While Samantha will be tak ..

    Written by : IANS | 07:06 PM
  • Rakul to romance Mahesh Babu once again

    Hyderabad, October 05: Rakul Preet Singh has reportedly bagged a biggie. The fast-growing actress has signed to play the female lead in Mahesh Babu's next movie to be directed by filmmaker Vamshi Paid ..

    Written by : IANS | 04:12 PM
  • Ram Charan to shake a leg with Pooja Hegde

    Hyderabad, October 04: Actress Pooja Hegde, who is well known for her stellar performance in "Duvvada Jagannatha, and Mukunda has caught the attention of Director Sukumar. Apparently, the filmmaker ..

    Written by : IANS | 01:09 PM
  • Amy Jackson to romance Jr NTR

    Hyderabad, October 02: Tollywood Young tiger NTR who is busy with the ongoing success of Jai Lava Kusa film. the film minted 100 shares world wide. now the fans are eagerly waiting for the next mov ..

    Written by : IANS | 06:07 PM
  • R Madhavan roped in Savyasachi

    Hyderabad, September 26: Akkineni Nagachaithanya recent flick Yudham Sharanam didn't succeed at the Box office, but the actor has come back with Savyasachi which will be helmed by Chandoo Mondeti.The ..

    Written by : IANS | 10:39 AM
  • Venkatesh to remake Salman Khan 'Sultan'

    Hyderabad, September 25: Victory Venkatesh has gained a decent hit at the box office with GURU movie.and he didn't sign for any film after the movie. Currently, the actor is looking for different s ..

    Written by : IANS | 11:26 AM
  • 'SPYDER' Introduction scene revealed

    Hyderabad sept 24: Tollywood Prince Mahesh Babu's Upcoming movie Spyder Movie has created a buzz in the audience.The movie teaser, Trailer, and Glimpse have garnered good response from the Audience. ..

    Written by : IANS | 04:13 PM
  • Rana Daggubati remuneration for Shop opening

    Hyderabad, September 22: Rana Daggubati's craze increasing day by day, After the biggest hit of Baahubali, the craze of the Rana has doubled, after that, he acted in 2 films Ghazi and nene Raju Nene M ..

    Written by : IANS | 12:10 PM
  • 'Arjun Reddy' hiked his remuneration?

    Hyderabad, September 21: Vijay Devarakonda, who given a stellar performance in the latest flick of Arjun Reddy has increased the remuneration according to his craze in Tollywood Media. Currently, the ..

    Written by : IANS | 01:07 PM
  • Mohan Babu in 'Mahanati'?

    Hyderabad, September 16: It is Known that Tollywood upcoming movie Mahanati has a number of Actors and Actress in the Direction of Nag Ashiwn. The news is that Collection king, who delivered an outsta ..

    Written by : IANS | 11:11 AM