Samsung Elec says demand for chips to remain strong after Q2 profit jumps
By Joyce Lee and Heekyong Yang
Reuters
SEOUL (Reuters) -Samsung Electronics Co Ltd on Thursday forecast strong demand for memory chips and a recovery in demand for display panels due to new smartphone launches, after posting its highest quarterly operating profit in over two years. For the second half, market conditions are expected to be favorable for the component business, Samsung said in a statement, although it cautioned that risks of continued disruptions in component supply and uncertainties related to COVID-19 are likely to persist.
Despite the risks posed by shortages of other semiconductors, it said the memory chip market s fundamentals remain strong on increasing 5G adoption, new smartphone model launches, and sustained demand for servers and PCs.
Samsung Q2 Profit Climbs
SEOUL (dpa-AFX) - Samsung Electronics Co Ltd (SMSN.L, SSNNF.OB, SSNLF.OB) reported a profit for the second-quarter that climbed 72.18 percent from the previous year, reflecting higher-than-expected chip prices and continued consumer demand for electronics during the pandemic. Quarterly sales grew 20.21 percent from the prior year.
The company expects favorable market conditions for the components business in second half.
The Memory Business is expected to see continued demand growth for server and mobile products and the company will accelerate migration to 15-nm DRAM and 6th generation V-NAND as well as expand the application of extreme ultraviolet (EUV) lithography process in DRAM production.
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SEOUL (Reuters) -Samsung Electronics Co Ltd on Thursday forecast strong demand for memory chips in the second half and a recovery in the mobile market to 2019 levels, in a sign the global economy is getting back on track from the coronavirus pandemic.
The world’s top maker of memory chips and smartphones posted a 54% jump in operating profit for the second quarter, its strongest result in more than two years, supported by high chip prices and better than expected demand.
“For the second half, market conditions are expected to be favourable for the component business,” Samsung said in a statement. “Memory demand will likely be buoyed by new smartphone model launches, with wider 5G availability driving growth.”