Samsung Cuts Back Capital Spending as Earnings Top Estimates
- Capex to drop to 31.8 trillion won in 2018, down 27%
- Chip, displays lead growth as smartphone sales stagnate
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Samsung Electronics Co. posted quarterly profit that topped analyst estimates on growth in its memory chip business, but signaled caution in semiconductors by announcing a cut in capital spending for the year.
Net income rose to 13 trillion won ($11.4 billion) in the three months ended September, the Suwon, South Korea-based company said in a filing Wednesday. That compares with the 12.9 trillion won average of estimates compiled by Bloomberg. Capital spending this year will drop 27 percent to 31.8 trillion won.