Overview
- Samsung disclosed Thursday that its preliminary third-quarter operating profit rose to 107.4 trillion won, beating analyst expectations and marking a fourth consecutive record quarter.
- The profit surge is driven by a sharp rise in demand for AI high-bandwidth memory (HBM) and stronger sales of DRAM and NAND, which lifted chip prices after a roughly 60% jump earlier in the year.
- Market tracker TrendForce projects memory prices will climb another 10–15% by year-end, sustaining high margins for memory makers while the pace of price gains shows signs of easing.
- Samsung said the supply shortage is unlikely to ease before 2027 and is pursuing long-term supply agreements with data-center operators to justify heavy investment in new production capacity.
- The chip boom has buoyed Samsung's stock and corporate profits but raised component costs that are squeezing margins in its smartphone and consumer-electronics units, and the company will publish full audited results on October 29.