Samsung says memory chip demand will drive 19-fold jump in operating profit
Record-breaking memory chip sales and prices are set to drive a 19-fold increase in Samsung Electronics Co. Ltd.’s second-quarter operating profit, according to a preliminary earnings report issued by the company today.
The strong forecast by Samsung, one of the world’s largest suppliers of memory chips, is likely to ease recent concerns raised by some analysts about the sustainability of artificial intelligence-linked spending. Samsung has been one of the biggest beneficiaries of this trend, and its stock doubled in value between April and June, only to lose momentum at the beginning of the month.
However, today’s report suggests Samsung is about to extend its run of record quarterly revenue and profit, which has continued since the final quarter of fiscal 2025. Analysts say its chipmaking business is expected to drive even stronger earnings growth throughout the remainder of the year, due to the ongoing demand for AI infrastructure.
Samsung said in its preliminary report that its operating profit is expected to hit an all-time high of 89.4 trillion won (around $58.47 billion) for the three-month period ending June 30. That’s up 56% from the previous quarter and above the analyst consensus forecast of 85.05 trillion won. In addition, Samsung said it expects its quarterly revenue to hit more than 171 trillion won, another record and more than double its sales from the same period one year earlier.
