Samsung reported a tenfold increase in profits in the first quarter – Kommersant

Today, the South Korean company Samsung Electronics reported preliminary results of its activities based on the results of the first quarter. The company’s total sales amounted to 71 trillion Korean won ($52.8 billion), up 11.4% from the first quarter of 2023. Operating profit reached 6.6 trillion won ($4.9 billion), 10 times more than the same quarter last year and higher forecasts analysts surveyed by LSEG expected 5.7 trillion won ($4.2 billion).

Experts attribute the significant increase in Samsung’s profits to the improvement in the situation in the chip market, where this South Korean company is among the world leaders. “We expect that demand for chips for AI will increase the company’s revenue in 2024–2025,” the TV channel quotes CNBC Daiwa Securities investment analyst Jason Kim.

Today, another South Korean electronics manufacturer, LG Group, reported preliminary results for the first quarter. A company that, unlike Samsung, does not occupy such a serious position in the global chip market, awaits decrease in profits by 11%. LG noted that despite stable demand in the home appliance market (up 2.2%), profits declined due to increased competition and rising production costs.

How Samsung and LG are fighting the Chinese invaders of the display market – in the material “War on TV”.

Evgeny Khvostik