Samsung Electronics reported record sales and operating profit at its telecom division in the third quarter, thanks to growing demand for the company's smartphones. Revenues at the telecom unit were up 37 percent from a year ago to KRW 14.90 trillion, and operating profit more than doubled to KRW 2.52 trillion from KRW 1.16 trillion a year ago. Samsung said the overall handset market rose an estimated 6-8 percent in volume terms from the second quarter, while its own shipments were up over 20 percent. It did not release figures on total shipments, but said it saw increased shipments across all regions, led by smartphones like the Galaxy S II as well as new touch feature phones. The average selling price was up slightly from the previous quarter despite tougher price competition. Samsung expects demand to pick up in the last quarter thanks to seasonal promotions, but competition will also intensify as rivals launch more new products. The company plans both high-end and mass-market smartphone launches, as well as new mass-market tablet models. Results for the group in Q3 saw revenues rise 3 percent to KRW 41.27 trillion, and operating profit down 13 percent to KRW 10.25 trillion. The company was hurt by weak demand for semiconductors in the PC market and lower results for display panels. Net profit was down 23 percent from a year ago to KRW 3.44 trillion, also hurt by forex losses.
