Samsung’s profit records as chip margins fatten | FinestAndroid.com

Samsung’s profit records as chip margins fatten

Hard work pays. Sure it pays, Samsung Electronics Inc. is finding refuge from a memory chip. A chip unit–comprised of memory and logic chips that is now highlighted as the biggest booster for Samsung’s total operating profit.

Samsung has had its challenges at fast but it stayed focused and now the company can smile back at the results. Being world’s largest memory chip maker, the company’s financial figures has shoot in this 3Q of 2013, recording a profit of $7.76 billion. That’s a huge sum of profit so that’s means that Samsung’s smartphone were flying of the shelves faster than its competitors. Analysts estimate Samsung sold between 85 million to 89 smartphones during the quarter, including the company’s latest Galaxy S4 smartphone. Speaking of Galaxy S4, this device has truly made business for the Korean based company. If 2012’s Galaxy S3 bested Apple’s iPhone in a touchscreen accuracy test, then its successor Galaxy S4 could have not settled for less.

Samsung may put more of a focus on their chip business if margins continue to grow. But on the other hand, as impressive increase in both margins and growth favours them, they should not slumber at any single minute because the other markets is watching.

Today, Samsung has a big pile of cash on its account, but funny enough the company has shown no sign to squander this cash any sooner. The big question is what might be the agenda behind all this kind of money? Will it invest in the TV sector which is still a headache to the company’s side of business? Or will they use it purchase other companies, possibly to assist the launch of their inevitable wearable products like the Galaxy Smartwatches and Galaxy Smartbelts? Maybe you may have better ideas, write to Min-Jeong Lee’s email address: min-jeong.lee@wsj.com

All innovative ideas are worth and welcomed.

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