Samsung Electronics Co. Ltd. announced its earnings guidance for the fourth quarter of 2017. The South Korean tech giant said it would likely shatter yet another record sales, but its guidance was short of estimates. Shares were sent down 3.11 percent lower on the South Korean exchange.
Samsung estimates its fourth quarter operating profits at 15.1 trillion won ($14.1 billion), up 64 percent year over year, but falling short of Thomson Reuters analysts’ estimates of 15.9 trillion. Samsung forecasted a revenue of 66 trillion won, also short of Thomson Reuters’ estimates.
This would mark Samsung’s third straight quarter of record breaking sales. The company’s sales are primarily attributable to its smartphones and semiconductors.
Samsung’s memory chips are in high demand due to the rising spread of internet connected devices, which is has significantly contributed to its net revenue.
The company still forecasts record sales amidst the corruption scandal by former Samsung leader, Lee Jae-Yong. In August 2017, Lee along with other executives were found guilty on corruption charges of bribing former South Korean President to ensure his rise to power.
Lee was sentenced to the minimum five years at his sentencing in August, but now prosecutors are pushing to extend the sentence to 12 years. Lee is looking to appeal the decision, which is expected on February 5.
Overall, for the full year, Samsung is forecasting revenue of 239.6 trillion won or $222.8 billion and 53.6 trillion or 49.8 billion won in sales.