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How Samsung weathered the Galaxy Note 7 recall

Despite debacle, South Korean tech giant forecasts its highest profit in more than three years

A model poses for photographs with a Galaxy Note 7 new smartphone during its launching ceremony in Seoul, South Korea. Photo: Reuters
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A model poses for photographs with a Galaxy Note 7 new smartphone during its launching ceremony in Seoul, South Korea. <b>Photo: Reuters</b>

Timothy W MartinEun-Young Jeong Seoul
Samsung Electronics Co. delivered a reminder of the company’s central role in the global technology supply chain with a strong earnings forecast on Friday.

Even with the early-October recall of its premium Galaxy Note 7 smartphone that cost it at least $5 billion, Samsung projected fourth-quarter earnings that would be the highest in more than three years. The reason: competitors’ growing demand for Samsung components.

While Samsung’s smartphone results took a hit, the company thrived on sales to the likes of Apple Inc., Dell Inc., HP Inc. and Sony Corp., whose smartphones, laptops and televisions rely on parts manufactured by