Samsung Electronics recently announced that operating profits saw record highs in the second quarter, buoyed by surging prices for memory chips.
Operating profits gained 72 percent to about 14 trillion won, or $12 billion USD, over last year’s numbers. That outpaced the 13 trillion won expected by analysts. Additionally, revenues experienced 18 percent growth to 60 trillion won versus the 59 trillion won projected.
Memory chips drove results and will seemingly continue to do so. Samsung has committed to investing more than $18 billion in memory technologies and next generation displays.
The South Korean company, Reuters noted, did not detail its results more fully — these are estimated numbers, with more concrete information set for release later this month. Net income and performance on a division-by-division basis will also be released at that time.
Memory chips will likely continue to help margins, while DRAM and NAND chips ride high demand and short supply. That imbalance is stoked by demand for smart devices and all manner of tech hardware.
Reuters reported a tailwind exists for organic light-emitting diode (OLED) displays. This is a space where Samsung has sway, and the screens are likely to be built into the coming wave of next generation iPhones. Samsung’s Galaxy Note 8 will enter the market at the same time, its debut slated for August.