DHAKA: South Korean technology giant Samsung has seen profits plunge after the recall of its Galaxy Note 7 smartphone.

Operating profit between July and September fell 30% from a year earlier to 5.2tn won ($4.6bn) - the lowest level in two years, reports the BBC.

The world’s largest smartphone manufacturer stopped making the Note 7 after reports of them catching fire.

Meanwhile the firm’s shareholders have backed Samsung heir apparent Lee Jae-yong joining the board.

He is grandson of the firm's founder Lee Byung-chull. and the son of Samsung chairman Lee Kun-hee.

The appointment is being seen as a big major step towards his overall control of the family-run group.

But Lee’s appointment has raised some questions from critics who say he has not held any major role at the firm and was taking a place on the board through birth rather than by merit.

Recalling and then scrapping the Note 7, which competed with Apple’s iPhone, has been seen as a blow for the company’s reputation for quality and reliability.

Samsung said its mobile phone unit would now focus on “expanding sales of new flagship products... as well as regaining consumers’ confidence”.

However its next major handset launch, the Galaxy 8 is not due until next year.

“Samsung has lost consumer confidence, but I think it still has at least one more chance. Rather than rushing to release the next product, it should conduct a thorough inspection and explain the results of its investigation into the Note 7,” said Greg Roh, an analyst at HMC Investment Securities.

BDST: 1250 HRS, OCT 27, 2016
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