--- title: "Samsung's profits surged to 19 times that of the same period last year, significantly exceeding expectations due to strong demand for AI memory chips" type: "News" locale: "en" url: "https://longbridge.com/en/news/291853038.md" description: "Samsung Electronics announced its preliminary financial report for the second quarter, driven by strong demand for AI memory chips, with an operating profit of 89.4 trillion Korean won, 19 times that of the same period last year, significantly exceeding market expectations. Revenue also surpassed analysts' estimates. Due to tight supply of high-bandwidth memory, major memory manufacturers are expected to maintain pricing power until 2027. Despite impressive profits, Samsung's stock performance still lags behind SK Hynix, but both companies are increasing investments in South Korea and globally to expand capacity" datetime: "2026-07-06T23:40:28.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/291853038.md) - [en](https://longbridge.com/en/news/291853038.md) - [zh-HK](https://longbridge.com/zh-HK/news/291853038.md) --- # Samsung's profits surged to 19 times that of the same period last year, significantly exceeding expectations due to strong demand for AI memory chips The AI boom continues to drive demand for high-end memory, with Samsung Electronics announcing preliminary financial results for the second quarter on Tuesday (the 7th), showing an operating profit 19 times that of the same period last year, significantly exceeding market expectations. Samsung estimates that its operating profit from April to June will be 89.4 trillion Korean won (approximately 58 billion USD), far exceeding the 4.7 trillion Korean won from the same period last year and also higher than the London Stock Exchange Group (LSEG) estimate of 87.3 trillion Korean won, surpassing the total profit for the entire year of 2025. Revenue reached 171 trillion Korean won, also above the average analyst estimate of about 169.2 trillion Korean won. Samsung plans to release its complete financial report at the end of this month, which will reveal net profit and the performance of various business segments. The demand for high-bandwidth memory (HBM) from AI servers continues to soar, leading to increasing supply constraints for other types of memory. NVIDIA CEO Jensen Huang and OpenAI COO Brad Lightcap have both pointed out that the shortage of memory supply remains a significant bottleneck for AI development. HSBC data shows that the average selling price of DRAM in the second quarter rose by more than 40% compared to the previous quarter, while NAND prices surged by more than 50%. Analysts expect that the supply constraints will last at least until 2027, allowing major memory manufacturers like Samsung, SK Hynix, and Micron to maintain pricing power. Samsung's financial report is seen by the market as an important indicator of whether the AI investment boom still has support. This year, global semiconductor stocks once surged to historic highs, but in recent months, concerns about intensified competition, overcapacity, and whether hundreds of billions of dollars in AI investments can yield sufficient returns have led to increased stock price volatility. Despite Samsung's impressive profits, its stock performance still lags behind SK Hynix, which specializes in high-end AI memory. So far this year, Samsung's stock price has risen by about 165%, while SK Hynix has surged by about 260%. The two semiconductor giants are core companies in South Korea's AI semiconductor strategy, planning to build two wafer fabs in the southwestern part of South Korea, with a total investment scale of 800 trillion Korean won, in line with South Korea's goal to double memory production capacity within five years. 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