Samsung Electronics reported a record profit of $3bn for Q3 - three times the profit of Q308 - and forecasts a 'solid' Q4. Sales were up 19% on Q308.
- Semiconductor sales were 7.4trn won ($6.3bn) up from 6.1trn won in Q2 and 6trn in Q308.
- LCD sales were 6.7trn won ($5.6bn) up from 5.1trn in Q2 and 5.6trn in Q308.
- Telecom sales were 10.7trn won up from 10trn in Q2 and 9trn in Q308.
- Digital media sales were 12.4trn won ($10.5bn) up from 12trn inn Q2 and 11trn in Q308.
The DRAM price increase continued due to growing PC shipments, increasing GBytes per PC, a 'limited' improvement in fab utilisation rates, a 28% increase in the DRAM spot price and an expansion of 50/40nm capacity.
See also: Electronics Weekly's Focus on Samsung Electronics
Samsung expects DRAM demand growth to slow and expects a limited increase in supply with PC shipments in Q4 growing in mid-single figure percentages, and GByte per system growth in low single digit percentages. Samsung expects the DDR3 bit crossover in Q12010, it expects only a limited utilisation increase, and it expects a delay in geometry migration by its competitors.
There was strong demand for NAND in Q3 with increased demand from consumer/mobile applications, from new product launches (MP3/PND), an increased demand for smartphone embedded solutions and cards, boosted by supply shortages, with a fab utilisation rate increase, and increased cost competitiveness by expanding 40/30nm capacity. NAND profitability was enhanced by focusing on embedded products.
Samsung expects geometry migration will drive NAND supply increases, but also expects the strong year-end demand to continue with high demand for high-density products in consumer/mobile applications (e.g. Smartphone, MP3, PMP with 16GB/32GB+) and cards.