Analysis: Q3 2024 | Samsung Secured Profitability Close to Double-Digit Despite Flat Income
Discover insights into Samsung's Q3 2024 smartphone performance, where strategic upselling balanced revenue despite a 3% shipment decline amid fierce competition from Apple and Chinese brands.
Samsung’s global smartphone shipments in Q3 2024 declined by 3% year-over-year (yoy) to 57.7 million units, largely due to the intensified competition from Apple and leading Chinese brands. Thanks to the upselling strategy, Samsung’s smartphone wholesale average selling price (ASP) in KRW kept increasing YoY for thirteen consecutive quarters, arriving at KRW 400.9K (USD 296). The 3% annual ASP growth offset the volume loss impact, flattening Samsung’s revenue annually to KRW 23.1T (USD 17.1B). Like what happened from the beginning of 2024, although the rising material cost resulted in a double-digit annual drop in income, Samsung maintained an operating margin close to double-digit (9.4%) this quarter.
