In the case of Samsung SDI Chemical, the conglomerate will immediately sell 90 percent of shares and transfer the remaining ten percent three years later. As for operating profits, the difference is more modest, with the 7.39 trillion KRW or $6.5 billion representing only a 500 billion KRW increase from the second quarter of this year.
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Shares of Samsung also soared touching nearly its six-month high with a climb of 2.3 percent at 0210 GMT.
Samsung’s revenue has continued to increase by approximately 6% every quarter, much of which is attributed to their semiconductor and display panel business.
According to market tracker Strategy Analytics, Samsung beat its global rival Apple in third-quarter smartphone sales. The company’s phone business has suffered from increased competition from Apple, which adopted the phablet format pioneered by Samsung past year.
For the mobile division, it was Samsung’s first year-over-year profit gain since 2013, when it was at its peak of smartphone dominance.
Segment by segment: In the CE segment, sales were essentially flat at 11.59 trillion won ($10.1 billion) compared with the year-ago quarter.
This topped market expectations of about 6.5 trillion won, and slightly exceeded the company’s preliminary earnings guidance of 7.3 trillion won.
Apple’s current flagship devices, the iPhone 6S and the iPhone 6S Plus, now sport the Force Touch display feature which its users are praising. Samsung said it had seen “significant” increases in demand for the Galaxy Note 5, S6 Edge, and other smartphones.
The Snapdragon 810 was reported to have similar overheating problems and Samsung had dropped the idea of using the chipset in its Galaxy S6 and Galaxy S6 Edge, which are now powered by its home grown Exynos 7420 processor.
The Chinese manufacturing giant was forecast in July to ship 100 million smartphones by the end of 2015, and has been edging closer to that each quarter.
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The move is described as part of ongoing efforts to simplify Samsung’s ownership structure ahead of a transfer of power to a new generation of family owners. The company’s inability to wrest back control of the premium devices market has shrunk profitability, with the operating margin narrowing to about 9 per cent in the quarter, or less than half what Samsung posted in the first quarter of 2014.
