Samsung mobile sales up but profits fall 13pc from Q2

Samsung Galaxy S6 and S6 edge

Revenues increase due to the release of new products, but profit fall attributed to reduction in Galaxy S6 price

Samsung has reported increased mobile sales in Q3 but saw profits fall 13 per cent from the previous three month period.

The Korean manufacturer reported a rise in revenues of two per cent from Q2 and eight per cent from a year ago to 25.94 trillion won (£15.3 billion).

However, while profits increased 37 per cent year-on-year to 2.40 trillion won (£2.1 billion), this still represented a 13 per cent drop from Q2 2015.

Samsung said its strong sales growth was driven by the release of new smartphones in the quarter, including the Galaxy S6 edge+, Note 5 and A8 while profitability declined due to price reductions on the Galaxy S6 models.

On its performance in tablets, the manufacturer said that despite weak market demand, shipments and earnings remained in line with the previous quarter.

Looking ahead to the final quarter of this year, Samsung is expecting smartphone and tablet demand to grow from Q3 as a release of the new models released, and also expects tablet shipments to increase slightly due to strong seasonal demand.