Samsung profits jump by more than 900% on chips

Samsung Electronics has reported a surge in profits of more than 900% in the first quarter of this year, driven by strong demand for its memory chips. The South Korean tech giant said that its operating profit for the January to March period was 9.3 trillion won ($8.4 billion), up from 936 billion won a year earlier.

The company’s chip business was the main driver of the jump in profits, with sales of memory chips used in smartphones and other devices increasing significantly. Samsung’s semiconductor division reported an operating profit of 6.3 trillion won, more than double the previous year.

Analysts attributed the strong performance to a combination of factors, including robust demand for chips from the smartphone and data center markets, as well as increased prices for memory products. Samsung’s strong position in the global semiconductor industry also helped drive its profits up.

Looking ahead, Samsung said it expects demand for memory chips to remain strong in the coming months, as the global economy continues to recover from the impacts of the Covid-19 pandemic. The company is also optimistic about the prospects for its other businesses, including its smartphone and home appliance divisions.

Overall, Samsung’s strong earnings report signals a positive start to the year for the tech giant, as it continues to benefit from the growing demand for electronic devices and components around the world.