Samsung forecasts 32% jump in Q3 profit on strong chip demand

Samsung Electronics on Tuesday projected a 32 percent year-on-year surge in its third-quarter operating profit, buoyed by strong demand for conventional memory chips despite softer sales of high-bandwidth memory products.

The South Korean tech giant estimated its July–September operating profit at 12.1 trillion won (US$8.5 billion) — its highest since the second quarter of 2022 and around 17 percent above market expectations, according to Yonhap News Agency.

The results underscore robust global demand for server and AI-related chips, which helped boost both prices and shipments of DRAM and NAND memory. “Samsung has reclaimed the top spot in memory market revenue in the third quarter,” said Counterpoint Research Director M.S. Hwang, citing stronger-than-expected sales driven by AI-related server investments.

Samsung’s sales rose 8.7 percent to 86 trillion won, the company said in a regulatory filing. Net income figures were not disclosed.

Earlier this month, Samsung signed preliminary agreements with OpenAI to supply chips and equipment for its Stargate project. In July, it also sealed a $16.5 billion deal with Tesla to produce next-generation AI6 chips at its new Texas facility.

Analysts expect Samsung’s mobile division to post stronger earnings, supported by solid demand for its Galaxy Z Fold7 and improved product mix, said Neil Shah, Vice President at Counterpoint.

Samsung will release its detailed quarterly earnings report later this month. Shares in the company rose 2.79 percent in early Seoul trading following the announcement.