Samsung with another significant jump in profits

Electronics - Samsung with another significant jump in profits

Rising chip prices due to the strong demand for Artificial Intelligence (AI) are further boosting the results of electronics giant Samsung. In its quarterly outlook for the months of April to June, the market leader in memory chips, smartphones, and televisions, expects its operational profit to have increased more than fifteen-fold in the year-on-year comparison. The profit from core businesses is predicted to reach approximately 10.4 trillion Won (around 7 billion Euro), according to a press release from the South Korean conglomerate. In the second quarter of the previous year, it was 670 billion Won.

The numbers for the past quarter were significantly above market expectations. Samsung Electronics anticipates a 23% increase in revenue to 74 trillion Won (49.6 billion Euro). The company traditionally releases more detailed figures at a later date.

Samsung, like other chipmakers, primarily benefits from the large demand for semiconductors necessary for the development of AI. The need for chips with high bandwidth (HBM), which are used in the development and operation of AI platforms and are also produced by Samsung, has significantly increased.

According to market research calculations, Samsung is expected to regain the top spot in the smartphone market from Apple in the first quarter of 2024.

1. The surge in chip prices in Seoul, fueled by the robust demand for Artificial Intelligence, is positively impacting South Korea's electronics giant, Samsung.
2. Samsung, an electronics giant known for its leadership in memory chips, smartphones, and televisions, has projected a more than fifteen-fold increase in its operational profit year-on-year.
3. The increase in profit from Samsung's core businesses is projected to reach a staggering 10.4 trillion Won (approximately 7 billion Euro), as stated in a press release from the South Korean conglomerate.
4. Samsung, a significant player in the electronics industry, primarily profits from the elevated demand for semiconductors crucial for the advancement of AI.
5. As predicted by market research, Samsung, the electronics giant and electronics intelligence leader, aims to reclaim the top position in the global smartphone market from Apple by the first quarter of 2024.

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