Samsung's Q2 Profits Surge 15-Fold Amid Rising Chip Prices and AI Demand

Samsung posts a 15-fold increase in operating profits in last quarter

SEOUL, South Korea (AP) -- Samsung Electronics Co. reported a 15-fold increase in operating profit for the second quarter this year, largely thanks to a strong demand for memory chips amid the expansion of artificial intelligence technologies. The South Korean semiconductor and smartphone giant said Wednesday in a statement that its operating profit for the April-June quarter stood at 10.4 trillion won ($7.5 billion), up from 670 billion won reported in the same period last year. Samsung said its consolidated revenues rose by about 23% to 74 trillion won ($53 billion). The company said favorable market conditions drove higher average sales prices, while robust sales of organic light-emitting diode (OLED) panels also contributed to the stronger results. "Driven by strong demand for HBM (high bandwidth memory) as well as conventional DRAM and server SSDs (solid state drives), the memory market as a whole continued its recovery," the Samsung release said. "This increased demand is a result of the continued AI investments by cloud service providers and growing demand for AI from businesses for their on-premise servers," it said. In the second half of this year, Samsung said that AI servers are expected to take up a larger portion of the market as major cloud service providers and enterprises expand their AI investments.

Samsung posts a 15-fold increase in operating profits in last quarter

SEOUL, South Korea (AP) -- Samsung Electronics Co. reported a 15-fold increase in operating profit for the second quarter this year, largely thanks to a strong demand for memory chips amid the expansion of artificial intelligence technologies. The South Korean semiconductor and smartphone giant said Wednesday in a statement that its operating profit for the April-June quarter stood at 10.4 trillion won ($7.5 billion), up from 670 billion won reported in the same period last year. Samsung said its consolidated revenues rose by about 23% to 74 trillion won ($53 billion). The company said favorable market conditions drove higher average sales prices, while robust sales of organic light-emitting diode (OLED) panels also contributed to the stronger results. "Driven by strong demand for HBM (high bandwidth memory) as well as conventional DRAM and server SSDs (solid state drives), the memory market as a whole continued its recovery," the Samsung release said. "This increased demand is a result of the continued AI investments by cloud service providers and growing demand for AI from businesses for their on-premise servers," it said. In the second half of this year, Samsung said that AI servers are expected to take up a larger portion of the market as major cloud service providers and enterprises expand their AI investments.

Samsung posts a 15-fold increase in operating profits in last quarter

SEOUL, South Korea -- Samsung Electronics Co. reported a 15-fold increase in operating profit for the second quarter this year, largely thanks to a strong demand for memory chips amid the expansion of artificial intelligence technologies. The South Korean semiconductor and smartphone giant said Wednesday in a statement that its operating profit for the April-June quarter stood at 10.4 trillion won ($7.5 billion), up from 670 billion won reported in the same period last year. Samsung said its consolidated revenues rose by about 23% to 74 trillion won ($53 billion). The company said favorable market conditions drove higher average sales prices, while robust sales of organic light-emitting diode (OLED) panels also contributed to the stronger results. "Driven by strong demand for HBM (high bandwidth memory) as well as conventional DRAM and server SSDs (solid state drives), the memory market as a whole continued its recovery," the Samsung release said. "This increased demand is a result of the continued AI investments by cloud service providers and growing demand for AI from businesses for their on-premise servers," it said. In the second half of this year, Samsung said that AI servers are expected to take up a larger portion of the market as major cloud service providers and enterprises expand their AI investments.

Samsung Q2 profit up more than 15-fold as chip prices rise

SEOUL, July 31 (Reuters) - Samsung Electronics reported on Wednesday a more than 15-fold rise in its second-quarter operating profit, as rebounding semiconductor prices driven by the artificial intelligence boom lifted earnings from a low base a year ago. The world's biggest maker of memory chips, smartphones and TVs said operating profit rose to 10.4 trillion won ($7.52 billion) in April-June, up from 670 billion won a year earlier. That was in line with Samsung's own estimate of 10.4 trillion won flagged earlier this month. ($1 = 1,383.0100 won) (Reporting by Joyce Lee and Heekyong Yang; Editing by Sonali Paul)

Samsung Q2 profit up more than 15-fold as chip prices rise

That was in line with Samsung's own estimate of 10.4 trillion won flagged earlier this month.Samsung Electronics reported on Wednesday a more than 15-fold rise in its second-quarter operating profit, as rebounding semiconductor prices driven by the artificial intelligence boom lifted earnings from a low base a year ago. The world's biggest maker of memory chips, smartphones and TVs said operating profit rose to 10.4 trillion won ($7.52 billion) in April-June, up from 670 billion won a year earlier. That was in line with Samsung's own estimate of 10.4 trillion won flagged earlier this month. ($1 = 1,383.0100 won)

Samsung's operating profit increase 15-fold to 10.4 trillion won ($7.5 billion) in last quarter - Times of India

NEW DELHI: Samsung Electronics Co. announced that its operating profit in the second quarter of this year increased 15-fold to 10.4 trillion won ($7.5 billion) from 670 billion won reported in the corresponding period last year. The South Korean electronics major further said that the growth is primarily due to the robust demand for memory chips, which is being driven by the growing adoption of artificial intelligence technologies. The tech giant also reported a 23% increase in consolidated revenues, reaching 74 trillion won ($53 billion). The company attributed this growth to favorable market conditions, which led to higher average sales prices, as well as strong sales of OLED panels. "Driven by strong demand for HBM (high bandwidth memory) as well as conventional DRAM and server SSDs (solid state drives), the memory market as a whole continued its recovery," the Samsung release said. The company further explained that the increased demand for memory chips is a direct result of the ongoing investments in AI by cloud service providers and the growing adoption of AI technologies by businesses for their on-premise servers. Looking ahead to the second half of the year, Samsung anticipates that AI servers will capture a larger share of the market as major cloud service providers and enterprises continue to expand their AI investments. The TOI Business Desk is a vigilant and dedicated team of journalists committed to delivering the latest and most relevant business news from around the world to readers of The Times of India. The primary focus of the TOI Business Desk is to keep a watchful eye on the global business landscape, covering a wide spectrum of industries, markets, economic trends, in-depth analysis, exclusive reports and breaking stories that impact businesses and economies. With a mission to provide valuable insights and updates, the desk ensures that TOI readers are well-informed about the ever-changing and dynamic world of commerce and can navigate the complexities of the business world.

Samsung Electronics Q2 operating profit surges 15 times; chip biz shifts to profit

Samsung Electronics Q2 operating profit surges 15 times; chip biz shifts to profit The logo of the Samsung Electronics is seen at its office in Seoul, Jan. 31, 2023. AP-Yonhap Samsung Electronics said Wednesday its second-quarter operating profit surged more than 15 times from a year earlier on the robust performance of its semiconductor business. The world's largest mobile phone and memory chip maker's operating profit reached 10.44 trillion won ($7.55 billion) in the April-June period, compared with 668.5 billion won a year ago, the company said in a regulatory filing. It is the first time that Samsung Electronics posted an operating profit of more than 10 trillion won in seven quarters since the third quarter of 2022. Its sales jumped 23.4 percent on-year to 74.06 trillion won and net profit soared 471 percent to 9.84 trillion won. The earnings exceeded market expectations. The average estimate of operating profit by analysts stood at 10.29 trillion won, according to a survey by Yonhap Infomax, the financial data firm of Yonhap News Agency. Samsung Electronics said it invested 8.05 trillion won in research and development in the quarter ending in June. It also spent 12.1 trillion won in facility investment, including 9.9 trillion won in the semiconductor sector. The company said its chip business earned 28.6 trillion won in sales for the three-month period through June, with an operating profit of 6.45 trillion won. It marked the first quarterly operating profit for the company's flagship business in more than one year as it had remained in the red for five consecutive quarters since the first quarter of 2023. The strong performance was driven by strong demand for memory chips, including those for artificial intelligence servers and solid-state drives. Samsung Electronics' business for mobile and other devices posted 42.7 trillion won in sales and 2.7 trillion won in operating profit in the second quarter. (Yonhap)