Samsung Electronics Co. posted its biggest drop in quarterly profit since at least 2009 as the world’s largest smartphone maker loses ground to Apple Inc. and Chinese competitors.
Operating profit fell 60 percent to 4.1 trillion won ($3.8 billion) in the three months ended September from a year earlier, the Suwon, South Korea-based company said in a regulatory filing today. The shares rose on expectations fourth-quarter earnings will improve on new devices.
While total smartphone shipments rose in the quarter, the mobile unit’s profit margin shrank on higher marketing spending and lower average selling prices for devices, Samsung said in an e-mailed statement.
Translation: annoying ads and cheap phones.