Samsung Electronics: AI-driven Demand for Servers and Memory Expected to Strengthen in the Second Half, Projected Continued Growth in Full-Year Profit

July 30th, Samsung Electronics announced its second-quarter performance. The company achieved a second-quarter revenue of 171 trillion Korean won, an operating profit of 89.4 trillion Korean won, which is in line with market expectations. The net profit was 71.3 trillion Korean won, higher than the market expectation of 68.5 trillion Korean won. In the second quarter, the chip division's operating profit was 89.2 trillion Korean won.

Looking ahead, Samsung Electronics stated that the demand for server chips will remain strong in the second half of the year, the chip supply shortage is expected to continue, while demand for mobile and PC chips may slow down.

The company expects that due to continued AI infrastructure capital expenditures and broader adoption of AI applications, the memory business's demand will remain robust, and profitability is expected to continue to grow in the second half of the year. In addition, the depreciation of the Korean won had a positive impact of approximately 3.1 trillion Korean won on the company's second-quarter performance.