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As expected, Samsung's revenue and profit have fallen sharply in the third quarter of 2016, due to a painful recall of the company's flagship smartphone, the Galaxy Note7, due to combusting battery issues.
The company's revenue for the quarter was 47.82 trillion won ($41.9 billion), a year-over-year decrease of 3.87 trillion won ($3.39 billion), the company announced Thursday. Operating profit for the quarter has also declined sharply compared to last year -- 5.2 trillion won ($4.55 billion), a decrease of 2.19 trillion won ($1.91 billion).
SEE ALSO:5 awesome Android phones to replace your Galaxy Note7Samsung points out that, while its IT & Mobile Communications Division suffered due to the Note7 discontinuation, the Consumer Electronics Division achieved solid year-over-year earnings growth due to strong sales of SUHD TV sets and premium home appliances.
And while Samsung will still feel the burn from the Note7 fiasco in the next quarter, it expects to see a lot of improvement next year.
"Looking to 2017, the company will focus on achieving solid earnings growth through normalization of the mobile business while improving earnings for the components businesses through expansion of V-NAND and OLED panels," the earnings report says.
One of Samsung's key missions for next year when it comes to mobile is "regaining consumers’ confidence," and it will be interesting to see how, exactly, the company plans to go about that.
Samsung has recently started offering discounts on next year's Note8 and Galaxy S8 devices for customers who return their Note7 and replace it with a Samsung phone. Neither phone has been officially announced yet, but the move means Samsung is not ready to give up on the Note brand.
BONUS: Android phones to replace your Note7
TopicsSamsung
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