This was reported by the Financial Times, Ukrinform reported.

The company said on Friday that operating profit rose 931% to 6.6 trillion won ($4.9 billion) in the first three months of this year, according to preliminary data. According to LSEG SmartEstimates, this indicator was better than analysts’ expectations, who predicted 5.7 trillion won. Sales reached 71 trillion won, up 11.4% compared to the previous year.

According to data provider TrendForce, Dram flash chip prices rose nearly 20% in the first quarter, while Nand flash chip prices rose 23-28%.

Analysts predict that Samsung’s chip unit will post an operating profit of about 900 billion won in the first quarter, compared to an operating loss of 2.2 trillion won in December.

The company will submit a detailed report on April 30.

Samsung shares also rose as concerns about competitiveness in high-bandwidth memory (HBM) chips eased.

The newspaper writes that Samsung is trying to catch up with its rivals in the production of chips used in artificial intelligence, as it lags behind its domestic rival SK Hynix in the mass production of the most advanced HBM chips.

Samsung’s high profits are also due to strong sales of its latest smartphones with artificial intelligence. In January, the company launched Android-based Galaxy S24 phones with generative AI features, which helped Samsung regain the top spot in global smartphone sales in February.

As reported by Ukrinform, South Korean company Samsung Electronics announced the development of fifth-generation high-bandwidth (High Bandwidth Memory, HBM) memory chips.

Photo: dpa