Samsung Electronics reports substantial profit growth driven by surging memory chip demand
Samsung Electronics projects operating profit of 20 trillion won for Q4 2025, representing a significant increase from the previous year due to rising memory chip prices in the AI sector.
Samsung Electronics anticipates a remarkable financial performance in the fourth quarter of 2025, with operating profits expected to triple and reach 20 trillion won, surpassing the company's previous record of 17.6 trillion won from 2018. This exceptional growth is primarily driven by unprecedented demand for memory chips used in artificial intelligence applications. Consolidated sales are projected at approximately 93 trillion won.
The memory chip market is experiencing a 'Hyper-Bull' phase with intense competition among chipmakers like Nvidia for limited supply. Market analysts predict memory prices surged 40-50% in Q4 2025, with further increases expected.
While manufacturing costs have risen for consumer electronics makers, memory chip giants like Samsung, SK Hynix, and Micron have benefited significantly. Samsung's stock has gained over 145% in the past year.
The company plans to expand high-bandwidth memory (HBM) chip production, an area where it currently lags behind SK Hynix. Samsung will release detailed audited earnings and conduct a quarterly earnings call later this month.
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