Samsung profit jumps more than 50% on strong memory chip demand
SHARE
Samsung Electronics Co. Ltd. said Wednesday morning in South Korea that its second-quarter operating profit has likely increased by 53% on a year-over-year basis, surpassing analyst estimates.
The increase was thanks to strong demand and high prices for its memory and server chips, which account for the bulk of the company’s revenue. That helped offset a slight decline in its smartphone business.
Samsung reported in a short earnings release that its likely profit for the second quarter came to 12.5 trillion won ($11 billion), beating the analyst consensus of 11.3 trillion won ($10 billion) in profit. The company’s revenue for the period likely rose by 19% from a year ago, to 63 trillion won.
Samsung Electronics flags 53per cent jump in Q2 profit, topping estimates channelnewsasia.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from channelnewsasia.com Daily Mail and Mail on Sunday newspapers.
Strong memory chip shipments, prices buoyed profit-analysts
Phone shipments fell q/q on chip shortage, pandemic-analysts
SEOUL, July 7 (Reuters) - Samsung Electronics Co Ltd (005930.KS) on Wednesday reported a likely 53% jump in second-quarter operating profit, beating market estimates on the back of strong chip prices and demand despite lower smartphone sales.
The preliminary result is up 33% from the first quarter and underscores the soaring demand for chips that has depleted stockpiles amid a pandemic-led consumer appetite for electronics and recovering investment in data centres.
The world s largest memory chip and smartphone maker said profit for the quarter ended June 30 was likely 12.5 trillion won ($11 billion), well above a Refinitiv SmartEstimate of 11.3 trillion won. If confirmed later this month, it would be the tech giant s biggest second-quarter profit since 2018.
Samsung Electronics Flags 53% Jump in Q2 Profit aawsat.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from aawsat.com Daily Mail and Mail on Sunday newspapers.