Samsung Releases Q2 Earnings Preview, Expects Profit to Surge 15-Fold
Samsung Electronics stated that it expects its second quarter profit to soar to $7.54 billion as of June 30, far higher than the $486 million in the same period last year and a 15 fold increase year-on-year.
Samsung Electronics released its second quarter performance forecast on Friday (July 5th).
The company stated that it expects its profit for the second quarter ending June 30 to soar to $7.54 billion, much higher than the $486 million in the same period last year and a 15 fold increase year-on-year. This profit level exceeded LSEG SmartEstimate's estimate of $6.38 billion, making it Samsung's highest profit quarter since the third quarter of 2022. Samsung will release its complete second quarter financial report on July 31st.
Analysts say that the higher than expected profits mainly reflect the recent rebound in semiconductor prices driven by the AI wave. Samsung stated in April that it expects its growth in the second quarter to be mainly driven by demand for generative artificial intelligence, while demand for smartphones remains stable.
After the release of forward-looking data, Samsung's stock price opened up 1.2%, while the South Korean stock market rose 0.4% overall.
In addition, there are reports that Samsung's latest fourth generation HBM chip is expected to be supplied to Nvidia, and it is still under review. Previously, the chip failed testing due to heat dissipation and power consumption issues.
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