Samsung Electronics has announced its third quarter results, revealing a 44 per cent drop in overall profits and a 15 per cent drop in earnings from mobile.
The fall in mobile revenues came despite a 22 per cent rise in shipments, bringing them to 51.8 million units. Margin fell to seven per cent from 13 per cent in the last quarter.
Samsung cited rising price pressures for the drop in margin.
In other markets oversupply was blamed for large drops in profit as sales of LCD televisions dropped in the current economic climate.
“The market environment in the third quarter proved challenging amid rising costs and a downturn in the global economy,” said Samsung head of investor relations Chu Woo-sik.
“We foresee the coming months to be an even more challenging period.”