Samsung Electronics, Q2 Earnings Surprise... Led by Semiconductor Recovery

 

 

 

 

Samsung Electronics posted an operating profit of KRW 10.4 trillion for the second quarter of this year, continuing its earnings surprise from the first quarter.

This marks a 1,452.24% increase compared to the same period last year, with the main drivers being the recovery in memory semiconductor demand and rising prices.

Second-quarter sales amounted to KRW 74 trillion, up 23.31% from the same period last year.

The strong performance was particularly driven by improved results in the memory semiconductor segment.

Market research indicates that the average selling prices (ASP) of DRAM and NAND increased by 13-18% and 15-20%, respectively, boosting Samsung Electronics' overall performance.

In this quarter, Samsung Electronics recorded higher-than-expected operating profit in the semiconductor segment, achieving results that significantly exceeded last year's annual operating profit.

The Device Solutions (DS) division is estimated to have generated an operating profit of KRW 4-5 trillion, surpassing market expectations. The recovery in the semiconductor industry and increased sales of high-value-added memory due to the expansion of the AI market appear to be key factors.

The Mobile eXperience (MX) business unit is expected to record an operating profit of KRW 2.1-2.3 trillion, although profitability seems to have declined somewhat due to the off-season and increased cost ratios.

The display segment is estimated to have posted an operating profit of around KRW 700 billion, driven by strong sales from major customers like Apple.

In the second half of the year, the expansion of high-bandwidth memory (HBM) production capacity by memory semiconductor companies is expected to exacerbate the shortage of general-purpose DRAM supply.

The third-quarter operating profit is projected to increase by 393.86% year-on-year to KRW 12.018 trillion, with sales increasing by 22.5% to KRW 82.5722 trillion.

TrendForce predicts that the prices of DRAM and NAND will rise by 8-13% and 5-10%, respectively, in the third quarter.

The supply shortage caused by increased demand for HBM is expected to affect the supply of general-purpose memory semiconductors, and Samsung Electronics' production capacity competitiveness is expected to increase over time.

However, the Foundry and System LSI segments are expected to face difficulties due to low utilization rates of advanced processes and price cuts by Chinese companies.

Samsung Electronics is conducting quality tests for the mass production of HBM3E products, and securing AI chip orders is expected to be crucial.

출처 : 산경투데이(https://www.sankyungtoday.com)

 

 

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Samsung Electronics, Q2 Earnings Surprise... Led by Semiconductor Recovery