Samsung Electronics Co. on Thursday reported strong third-quarter earnings on the continued robust performance of its key semiconductor business.

Its net profit rose 31.3 percent from a year earlier to 12.29 trillion won ($10.5 billion) in the July-September period, the world's largest memory chip and smartphone vendor said in a regulatory filing.

Operating profit jumped 28 percent in the third quarter to 15.82 trillion won, the largest since the third quarter of 2018. Sales hit a quarterly record of 73.98 trillion won, up from 66.96 trillion won from a year earlier.

On a quarterly basis, Samsung's operating profit was up 26 percent from the second quarter, and sales were up 10 percent.

The company's strong performance was powered largely by its chip business that has continued to show solid growth, with rising memory chip prices, enhanced yield rates and improved profitability at its chip contract manufacturing business.

Its mobile business gained new momentum with the August launch of two new foldable smartphones -- Galaxy Z Fold3 and Galaxy Z Flip3. The weak Korean won also contributed to the company's top and bottom lines.

An expected fall in memory chip prices amid slower demand for IT products, as countries have moved to lift pandemic restrictions, however, could weigh on the company's earnings in the fourth quarter.

Industry tracker TrendForce predicted DRAM prices to fall by 15 to 20 percent annually in the fourth quarter and enter a downward trend early next year, as the supply is expected to outstrip demand. (Yonhap)