Samsung posts highest quarterly profit in three years
Samsung Electronics reported an operating profit of 10.1 trillion won ($7.1 billion) for the third quarter – its best result since 2022. The main driver of growth was the sharp increase in prices for conventional DRAM memory chips, widely used in servers, smartphones, and personal computers.
Demand for these chips has rebounded as tech companies expand capacity for artificial intelligence projects and rebuild their memory inventories. According to TrendForce, prices for some DRAM products have jumped by more than 170% year-on-year.
At the same time, advanced HBM (High Bandwidth Memory) chips, used in AI training systems, contributed less to Samsung’s earnings due to delays in supplying its latest models to Nvidia. Unlike standard DRAM, HBM chips deliver much higher data transfer speeds and energy efficiency by stacking multiple layers of memory vertically.
Overall, rising prices for conventional memory and a recovery in server demand helped offset slower high-end chip sales, making this Samsung’s strongest quarter in three years.
UCapital Asset Management LLP or group companies may have commercial relationships with the companies mentioned. This content is not financial advice.
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