The third quarter was one of the most successful in recent memory for Samsung Electronics Co. Ltd., which grew its profit to two-year high during the period and also managed to beat revenue expectations.

Samsung on Wednesday evening released preliminary earnings guidance for the three months ended Sept. 30 that revealed an expected operating profit of roughly 12.3 trillion won. The sum, which is the equivalent of about $10.6 billion, represents a hefty 58% jump from the same period in 2019.

The 58% increase handily beat the 28% year-over-year improvement that analysts surveyed by Refinitiv anticipated. Samsung’s strong bottom line growth boosted its third-quarter operating profit to the highest level since the third quarter of 2018.

Revenue, meanwhile, increased by 6% in the quarter, to 66 trillion Korean won or $57 billion. The Refinitiv consensus estimate put Samsung’s sales at $54.5 billion.

The company’s preliminary earnings guidance appears a few weeks before its quarterly earnings calls and doesn’t break down the high-level numbers by market segment. Samsung, best known for its popular smartphones, also operates in numerous other segments ranging from data center memory chips to home appliances. Another portion of its revenue comes from selling mobile device parts such as displays to competing smartphone makers, among them Apple Inc. 

Analysts attributed the company’s strong third-quarter performance to a number of factors. SK Kim, an analyst at Japanese investment bank Nomura Holdings Inc., said in a research note seen by CNN Business that U.S. trade restrictions on competing smartphone maker Huawei Technologies Co. Ltd. helped boost sales of Samsung’s smartphones. Rising interest in 5G-enabled mobile devices is seen as another contributor to its quarterly gains.

Samsung’s bottom line may have also received a boost from its home appliance business. LG Electronics Inc., a top Samsung rival, reported a record 959 billion won preliminary profit for the third quarter that analysts cited by Reuters attributed to increased home appliance and TV sales.

It’s believed Samsung’s momentum may slow somewhat next quarter because of Apple’s expected introduction of its next-generation iPhones. The company is set to hold a virtual event titled “Hi, Speed” next Tuesday, Oct. 13, where it will reportedly debut four new iPhone models with 5G support and processor improvements. 

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