Samsung to invest $4.6billion in memory chips?
For the third quarter of 2009, the LCD division of the company has posted an operating profit of 1.01 trillion Won as revenue reached 6.73 trillion Won, an increase of 20.6 percent year-on-year. Samsung expects to increase capital expenditure further in 2010, with more than 5.5 trillion Won planned for its memory business to respond to rising demand and 3 trillion won for LCD.
The South Korean firm's semiconductor business has generated a consolidated operating profit margin of 15 percent in the third quarter of 2009, an increase of 4 percent from the second quarter of 2009. During the quarter Samsung has also improved margins in telecom, chip and LCD divisions.
Bloomberg quoted Lee Woo, a fund manager at KTB Asset Management, as saying: “The company will continue posting solid earnings next year, and the semiconductor business will be the key driver. As Intel and other chipmakers forecast, I see strong PC demand.”
With signs of economic recovery, Intel, LG Electronics and LG display have also reported increased sales during the second/third quarters of 2009.
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