Samsung’s guidance report for Q3 2020 earnings has just been released and the South Korean tech giant is expecting a 58% increase in operating profit.
A detailed breakdown will appear later when actual results come in, but Samsung is expecting to reach an operating profit of $10.6 billion. The company predicts that this figure will be generated by more mid-range smartphone sales even though Samsung has just released its latest flagship, the Galaxy Note 20 in Q3. The graphics chips for the upcoming gaming consoles, Series X and PS5, will also contribute greatly to this figure.
Another major contribution is expected to come from a “rush order” from Huawei as the company stockpiled on hardware amid the US restrictions closing in. Huawei will soon be barred from doing business with Samsung and several other major names, which is why the Chinese brand put several rush orders in place.
Looking forward, analysts believe that Samsung will see another boost in numbers over the fourth quarter as it supplies parts for the new iPhone 12 series that is set to announce next week.