Samsung Electronics Co., Ltd. saw a significant increase in second-quarter profit as the tech giant continued to benefit from AI-driven demand for memory chips and electronic devices.
Samsung said on Friday that its operating profit for the three months ending June 30th could rise to 10.4 trillion won (approximately $7.5 billion), compared to 670 billion won in the same period last year.
This figure far exceeds the Reuters estimate of 8.8 trillion won in profits.
Samsung stated that second-quarter sales could rise to 74 trillion won from 60.01 trillion won last year. The electronics giant provided only preliminary estimates of its second-quarter earnings on Friday, with a full earnings report to be released later in July.
The increase in Samsung's profits is mainly due to the rise in demand for memory chips, especially high-bandwidth memory (HBM) chips, driven by the AI industry. Samsung said it would begin mass production of advanced HBM chips this year to secure more orders from AI leaders like NVIDIA.
Over the past year, AI has driven demand growth in the chip industry, with more and more companies rushing to launch their products to capture market share from major firms like OpenAI.
Samsung's device sales, particularly its flagship S-series smartphones, have also benefited from AI integration.
