Samsung Electronics estimated profitability surged in Q1 on strong demand for smartphones and memory chips, with overall revenue expected to register double-digit growth.
In a preliminary earnings statement, the company revealed operating profit rose 50.3 per cent year-on-year to KRW14.1 trillion ($11.6 billion) and revenue 18 per cent to KRW77 trillion.
It was the company’s highest Q1 profit since 2018 and came despite a decline in memory chip prices.
Samsung didn’t release net profit or revenue by division. Full earnings will be released on 28 April.
Richard Windsor, founder of research blog Radio Free Mobile, wrote the improvement in profit was driven by a sequential rise in margins.
He added Q1 looked to have been a good quarter, allaying “my fears from Q4 that the semiconductor business was slipping”.
Windsor stated the vendor’s growth is all about the semiconductor business steadily expanding its revenue at “historically, excellent margins”.Subscribe to our daily newsletter Back