This put up has been up to date to replicate the announcement of Oh-Hyun Kwon’s resignation.  

Samsung Electronics made two bulletins right this moment that contrasted starkly with each other in tone. First, it issued an optimistic third-quarter earnings steering. Then, a few hours later, it posted a resignation letter from chief government officer and vice chairman Oh-Hyun Kwon, who stated it’s time for brand spanking new management as the firm faces an “unprecedented crisis inside out.”

By way of earnings, the chaebol has had a good yr up to now, posting strong first and second-quarter outcomes due to its elements enterprise, which Kwon additionally oversees. From a management perspective, nevertheless, Samsung has had a very tough yr. In August, Samsung vice chairman Jay Y. Lee, who was extensively anticipated to interchange his ailing father Lee Kun-hee as chairman of Samsung Group, was sentenced to five years in jail after being discovered responsible of bribery, embezzlement, capital flight and perjury fees.

Kwon, who has served as Samsung Electronics’ CEO since 2012, additionally plans to depart his positions as the head of its elements and show items and won’t search re-election to its board.

In a letter to staff, Kwon wrote that his resignation “is something I had been thinking long and hard about for quite some time. It has not been an easy decision, but I feel I can no longer put it off. As we are confronted with unprecedented crisis inside out, I believe that time has now come for the company start anew, with a new spirit and young leadership to better respond to challenges arising from the rapidly changing IT industry.”

Kwon, who joined Samsung in 1985, added that it now “needs a new leader more than ever and it is time for me to move to the next chapter of my life.”

Regardless of the upheaval in its administration ranks, Samsung was upbeat in its third-quarter earnings guidance today, forecasting consolidated working revenue of about 14.5 trillion Korean received ($12.eight billion). This quantity represents a very wholesome 179 % enhance from the 5.2 trillion won it reported in the third quarter of 2016, when its outcomes have been harm by the discontinuation of the Galaxy Notice 7.

Samsung is anticipated to proceed benefiting from promoting elements to different smartphone makers, together with Apple. Although Samsung merchandise like the Galaxy sequence compete with iOS units, Apple depends on Samsung to produce key elements. For instance, Samsung is the largest maker by quantity of OLED shows, which Apple switched to for its newest iPhones.

Samsung additionally forecast third-quarter consolidated gross sales of about 62 trillion received. It launched the Galaxy Notice eight one month in the past, following the launch of the Galaxy S8 and S8 Plus earlier this yr.

Featured Picture: Bloomberg/Contributor/Getty Pictures