Samsung Electronics' second-quarter profit outperformed analysts' estimates, thanks to higher memory chip prices.
According to Arab Net, South Korea's largest company posted a net income of 9.45 trillion won ($8.2 billion) for the three months ending in June, beating average estimates. of 8.7 trillion won.
Samsung revealed preliminary numbers earlier this month, showing operating profit rose more than 50%.
Data center operators and PC makers have pushed up memory chip prices, as they rush to secure inventories in the wake of chip shortages and surging demand for services and devices at home.
Despite a dip in phone shipments, partly due to supply chain turmoil in Vietnam, Samsung maintained profitability through more frugal digital marketing and strong device sales. Tablets and wearables.
Operating profit in the semiconductor business rose 28% from a year earlier to 6.93 trillion won. Samsung said its memory chip shipments slightly outpaced the growth trend at the same time as average selling prices rose.
For the second half, Samsung said it expects demand for mobile chips and servers to remain strong, when it should be able to improve cost competitiveness. using new technologies.
Samsung expects demand for mobile screens to recover as major customers plan to launch new flagship models, including high-value products such as portable phones,' the company said in a statement. Folding.. However, there are concerns that the supply crunch for certain components such as DDIs may affect shipments for some customers.
Samsung will unveil the Galaxy Z Fold 3 and Galaxy Z Flip 3 along with other wearables on August 11. Instead of launching the Galaxy Note series, the company will introduce the first S Pen for the Z Fold.
With lower prices than its previous foldable models, the company is likely to sell more of this type of phone that will improve profitability.
