Korea’s largest semiconductor maker, Samsung Electronics, released its second-quarter financial results this week and, like many of its peers, reported a 12% increase in operating profit to $10.8 billion.
Samsung has managed to exceed its own expectations in terms of operating income, and its height hit record levels since 2018. The company’s revenue rose 21% to $59.1 billion. Samsung’s operating profit was boosted in part by a two-year record US dollar strength against the South Korean won. The company’s net income reached $8.3 billion, which is slightly below market expectations.
All of that didn’t stop Samsung Electronics’ semiconductor-related division from growing core revenue by 24% to $21.8 billion, but earnings in the division fell short of analysts’ forecasts, falling 22% lower failed. Revenue in the smartphones and network equipment segment rose 29% to $22.5 billion, beating experts’ expectations. Competitor SK hynix said yesterday that demand for memory chips will also decline in the server segment in the current half year, although it has resisted this trend for some time.