Samsung Electronics will produce a detailed quarterly report by April 28, but for now the company has released the first results for the completed three-month period. Operating profit rose 50% to $11.6 billion in the first quarter, well ahead of analysts’ expectations. Revenue rose 18% to $63 billion, also better than expected.
Memory prices were higher than expected in the first quarter as manufacturers, sometimes unknowingly, held back production volumes and demand for memory chips in the server segment was strong. According to Counterpoint Research in the first quarter Samsung succeded increase smartphone shipments by 11% year over year to 72 million units. A slight delay in the announcement of the flagship Galaxy S22 shifted demand to the second half of Q1. In the first week after its debut at the end of February, smartphones of this model found 50% more buyers than the Galaxy S21 in a comparable period of the life cycle.
By the end of March, Samsung managed to sell just over 6 million Galaxy S22 smartphones, according to analysts. This is in line with early predictions. In the US market, the Galaxy S22 turned out to be 60% more popular than its predecessor in the first three weeks after its announcement. According to the manufacturer, the new flagship smartphone has already sold more than a million units on the South Korean market. In the memory market, Citigroup’s outlook for Samsung’s business is positive as prices will remain high in the second half of the year. The company produces more than a third of all RAM and solid-state memory in the world.