Samsung reports record quarterly profits

Company may be on track to unseat Intel as top chip firm

Samsung may be on course to hit its most lucrative quarter ever, predicting a record operating profit of over 9 billion.

The South Korean tech firm today reported its forecasts for Q2 2017, which included a consolidated operating profit of around 14 trillion Korean Won - easily the largest quarterly profit in the company's history. The figure represents a 2.6 billion jump from the last quarter, and a mammoth 72% increase on the same quarter last year.

The spike has largely been driven by the company's chip-making business, analysts say, rather than its more well-known smartphone division. Limited supply and soaring demand have combined to force industry prices higher, leaving Samsung in an enviable position.

Indeed, some analysts are even predicting that the company is on course to unseat tech titan Intel from the top spot in the semiconductor industry. "From the second quarter, Samsung will become number one in market share due to the recent increase in data centres and demand for solid-state drives," wrote Peter Lee, analyst for NH Investment & Securities analyst, in a note to clients.

Advertisement
Advertisement - Article continues below
Advertisement - Article continues below

Samsung is doubling down on its silicon success too, announcing earlier this week that it will be investing $18 billion in its chip manufacturing business. This includes expansion of its plants in South Korea and China.

The news indicated that the company appears to have put the embarrassing failures of last year - which included the mass recall of the original Galaxy Note 7 and the arrest of one of its top executives as part of a bribery scandal - behind it. The company has just relaunched the Note 7, and is gearing up for the launch of the Note 8.

Featured Resources

What you need to know about migrating to SAP S/4HANA

Factors to assess how and when to begin migration

Download now

Your enterprise cloud solutions guide

Infrastructure designed to meet your company's IT needs for next-generation cloud applications

Download now

Testing for compliance just became easier

How you can use technology to ensure compliance in your organisation

Download now

Best practices for implementing security awareness training

How to develop a security awareness programme that will actually change behaviour

Download now
Advertisement

Recommended

Visit/mobile/23617/the-best-smartphones-to-buy
Mobile

Best smartphone 2019: Apple, Samsung and OnePlus duke it out

24 Dec 2019
Visit/hardware/354336/the-it-pro-products-of-the-year-2019-all-the-years-best-hardware
Hardware

The IT Pro Products of the Year 2019: All the year’s best hardware

24 Dec 2019
Visit/hardware/tablets/354276/samsung-galaxy-tab-s6-review-the-best-android-tablet-out-there
tablets

Samsung Galaxy Tab S6 review: The best Android tablet out there

4 Dec 2019
Visit/mobile/google-android/354189/samsung-galaxy-a90-5g-review-simply-the-best-value-5g-phone
Google Android

Samsung Galaxy A90 5G review: Simply the best value 5G phone

22 Nov 2019

Most Popular

Visit/policy-legislation/data-governance/354496/brexit-security-talks-under-threat-after-uk-accused-of
data governance

Brexit security talks under threat after UK accused of illegally copying Schengen data

10 Jan 2020
Visit/microsoft-windows/32066/what-to-do-if-youre-still-running-windows-7
Microsoft Windows

What to do if you're still running Windows 7

14 Jan 2020
Visit/hardware/laptops/354533/dell-xps-13-new-9300-hands-on-review-chasing-perfection
Laptops

Dell XPS 13 (New 9300) hands-on review: Chasing perfection

14 Jan 2020
Visit/operating-systems/25802/17-windows-10-problems-and-how-to-fix-them
operating systems

17 Windows 10 problems - and how to fix them

13 Jan 2020