Samsung’s semiconductor division earned 3.86 trillion won ($2.8 billion) in operating profit during the quarter, rebounding from a deficit during 2023 but sharply declining from the 6.45 trillion won ($4.67 billion) it reported in the April-June period.

While Samsung saw solid demand for AI and server chips during the past quarter, its mobile chip business weakened as some customers adjusted inventories. The market was also affected by Chinese manufacturers’ increased supply of legacy memory products, the company said in a statement.