Samsung Electronics has shattered its own records, posting a staggering $13.8 billion operating profit for the October-December quarter. This marks the highest quarterly earnings in the company’s history, fueled by a booming memory chip market and resilient smartphone sales.
The South Korean tech giant revealed these blockbuster figures amid a global semiconductor resurgence. Analysts had predicted strong results, but the actual numbers exceeded expectations by a wide margin. Operating profit soared 112% year-over-year, while revenue climbed 11% to approximately 75.9 trillion won ($57 billion).
Memory chips, particularly high-bandwidth memory (HBM) for AI applications, emerged as the star performer. Samsung’s strategic investments in advanced DRAM and NAND flash paid off handsomely as demand from data centers and AI hyperscalers skyrocketed. The semiconductor division alone contributed over 80% of the operating profit.
Smartphone sales held steady despite fierce competition from Apple and Chinese rivals. The Galaxy S series and foldable devices maintained market share, bolstered by premium pricing and innovative features. Meanwhile, the display business benefited from increased orders for OLED panels in high-end devices.
Looking ahead, Samsung’s leadership expressed cautious optimism. While AI-driven demand remains robust, geopolitical tensions and potential U.S. interest rate shifts pose risks. The company plans to ramp up HBM production and expand its foundry services to capture more AI chip opportunities.
This record quarter underscores Samsung’s pivotal role in the global tech ecosystem. Investors cheered the news, with shares jumping 3% in Seoul trading. As the company navigates 2024 uncertainties, its financial firepower positions it strongly against rivals like TSMC and SK Hynix.