Samsung Electronics has projected a nine-fold rise in its quarterly operating profit from a year earlier, pointing to strong demand for memory chips used in artificial intelligence (AI) data centres.
The company estimates operating profit for the three months ending in September at 107.4tn won (£61bn; $80bn), which would be its fourth consecutive record quarter.
Samsung ranks among the world’s largest memory chip makers, alongside South Korean competitor SK Hynix and US firm Micron. All three supply chips that are vital to AI companies such as Nvidia.
The company, which produces the Galaxy Fold and S26 handsets, also expects sales of its latest folding phones, released in August, to support its results.
Full third-quarter results are due at the end of October.
Major South Korean companies publish earnings previews to guide investors before releasing more detailed reports. Samsung noted that such company-issued forecasts carry greater weight than outside analyst estimates because they rely on internal data.
Worldwide demand for the chips that drive AI development has been strong, lifting revenue and share prices across manufacturers linked to the sector.
That demand has created a global semiconductor shortage in recent years, boosting sales at companies including Samsung, whose market value passed $1tn (£757bn) earlier this year.
Spending across the industry has grown sharply, with US technology groups Google, Amazon and Meta committing more than $650bn to AI projects this year.
In June, South Korea announced at least $880bn worth of projects, led by Samsung and SK Hynix, to expand the country’s chip manufacturing capacity over the coming years.
Competitors in Japan, China and Taiwan are also investing heavily in chip fabrication as AI demand climbs.
The shortage has prompted manufacturers, Samsung included, to lift prices, making products such as smartphones and computers costlier.
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