Samsung announced it expects its Q4 2016 operating profit to increase 50 per cent year-on-year, with brisk sales of chips and displays offsetting losses from its global recall of the Galaxy Note 7 in October.

The world’s largest smartphone maker forecast operating profit for the quarter would hit KRW9.2 trillion ($7.72 billion) – its highest since Q3 2013 – on revenue estimated at KRW53 trillion, which is down slightly from Q4 2015.

For the full year 2016, Samsung predicted operating profit will increase nearly 11 per cent year-on-year to KRW29.2 trillion, with revenue rising marginally to KRW201.5 trillion.

Samsung’s guidance didn’t provide any additional detail on its 2016 results: it will release official earnings figures later this month.

Analysts said a rebound in memory chip prices and healthy sales of flat-panel displays helped Samsung make up for losses from the Note 7 debacle, Yonhap reported.

Samsung is expected to announce the final results of its investigation into the Note 7 this month. The company said in November it is working with authorities in its home market and the US.

The South Korea-headquartered company axed the Galaxy Note 7 in early October after several devices caught fire. While the vendor initially blamed a faulty batch of batteries from another Samsung unit (Samsung SDI) for the problem and recalled 2.5 million units, it conceded defeat after some initial replacement devices featuring batteries from its other supplier, China’s Amperex Technology, were affected by the same problem.