South Korean battery manufacturer Samsung SDI announces that, due to strong sales of its EV batteries, the company's Q3 net profit this year reached KRW 420.4 billion ($357.6 million), an increase of 74.7% year-on-year, Kallanish reports.

Samsung SDI’s Q3 revenue is KRW 3.43 trillion, an increase of 11.4% over the same period last year; operating profit is KRW 373.5 billion, an increase of 39.7% over the same period last year. Both reached record highs.

Samsung SDI said that the EV battery business has performed well since it first made a profit in the second quarter. The increase in sales of high-value-added products has offset the impact from the shortage of automotive chips.

Due to increasing demand for EVs, smart phones and wearable devices, sales of small batteries have increased, and so has the related profitability improved. The operating profit of Samsung's SDI battery business is KRW 20.8 billion, an increase of 46% year-on-year; revenue is KRW 2.74 trillion, an increase of 15% y-o-y.

With an optimistic attitude towards market changes, the company is also adjusting its products while trying to maintaining profits. Samsung began mass production of Gen.5 batteries in the third quarter. As the company will increase the supply of Gen.5 batteries in Q4, car battery sales are expected to rise. Supported by strong demand in the global electric vehicle and smartphone markets, sales of small cylindrical batteries and soft pack batteries are also expected to increase.