Samsung's Q4 profits jump due to memory chip and smartphone sales surge

Samsung has recorded its biggest leap in profits for three years, going up by 50 percent year-on-year, showing that there is far more to the company than the Galaxy Note 7 saga.

    Despite 2016 saw Samsung recalling its Galaxy Note 7 phone for safety reasons, the discontinuation of the flagship still didn't stop the company from having a solid financial report for that time period.

    While it seemed that Samsung would have faced a marginal loss but contradictorily Samsung has just reported an operating profit of 9.22 trillion won ($7.93 billion) for the quarter. And these numbers are in fact slightly higher than the company's prior procurement of 9.2 trillion won.

    Samsung's Q4 profits jump due to memory chip and smartphone sales

    Comparatively the profits have gone up 50 percent this time. Surprisingly, Q4 2016 was Samsung's most profitable quarter in three years.

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    Samsung has posted the revenues for the quarter and has said that the company reached 53.33 trillion won ($45.8 billion), which is again slightly higher than the company's previous operating profit of 53 trillion won.

    The company has stated that the fourth quarter earnings were driven by the components businesses, mainly the Memory business and the Display Panel segment, which manufactures OLED and LCD screens. Also, robust sales of high-end, high-performance memory products and expanded process migration in V-NAND, plus strong shipments of OLED and large-size UHD panels were also the main contributing factor to Samsung's profitability.

    In addition, coming to the mobile segment, Samsung has said earnings went up compared to a year ago, thanks to solid sales of its Galaxy S7 and Galaxy S7 edge phones, along with higher profits for its budget and mid-range devices.

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    Well, in the end, it looks like it actually did not turn out that bad for the South Korean-based business.

    Having said that, for 2017, Samsung has assured that the company will continue to innovate both in software and hardware across its entire line-up while prioritizing consumer safety and at the same time deliver products that will strengthen its leadership in the premium market.

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