Tuesday Apr 30 2024 13:59
3 min
South Korean electronics giant Samsung announced a significant rise in its net profit in Q1 2024 on Tuesday, as the demand for hardware to power artificial intelligence (AI) technologies is causing a boom in its memory chip business.
Memory chips, particularly high-bandwidth memory, are becoming vital for AI accelerators, and Samsung appears to be capitalizing on this trend.
The Q1 Samsung earnings report revealed a four-fold rise in net profit, up to 6.755 trillion won ($4.91 billion), up from 1.575 trillion won during the same period last year. Samsung’s quarterly revenue also rose by 13% to 71.916 trillion won.
Сalculate your hypothetical P/L (aggregated cost and charges) if you had opened a trade today.
Market
Instrument
Account Type
Direction
Quantity
Amount must be equal or higher than
Amount should be less than
Amount should be a multiple of the minimum lots increment
USD
EUR
GBP
CAD
AUD
CHF
ZAR
MXN
JPY
Value
Commission
Spread
Leverage
Conversion Fee
Required Margin
Overnight Swaps
Past performance is not a reliable indicator of future results.
All positions on instruments denominated in a currency that is different from your account currency, will be subject to a conversion fee at the position exit as well.
Samsung's smartphone business also remains robust, bolstered by the release of its new Galaxy S24 during the quarter — the phone boasts innovative AI-powered features such as live translation during phone calls across 13 languages and 17 dialects.
This launch helped Samsung surpass Apple Inc. to become the world's largest smartphone manufacturer by shipments in the first quarter, as reported by market research firm IDC.
Samsung anticipates continued strong demand for high-bandwidth memory chips well into the second half of 2024.
The company is set to expand its production capabilities, planning to mass-produce new 12-stack HBM3E products starting in the second quarter, building on its eight-stack HBM3E production that began in April. The South Korean tech giant also secured a grant from the U.S. Commerce Department's Chips Act, which will support over $40 billion in manufacturing investments in Texas.
Samsung is competing with rivals such as South Korea's SK Hynix and U.S. based Micron Technology in the memory-chip market. SK Hynix stock closed 0.97% down on Tuesday at 174,200 won, while Micron Technology shares were trading slightly lower in premarket hours at $114.15.
Samsung shares trading on the Korea Exchange booked a 1% gain as of market close on Tuesday. Samsung stock is down close to 1.3% year-to-date but remains up 18% on a 12-month basis.
Samsung Electronics global depositary receipts (GDRs) trading in London were last up 1.8%.
When considering shares, indices, forex (foreign exchange) and commodities for trading and price predictions, remember that trading CFDs involves a significant degree of risk and could result in capital loss.
Past performance is not indicative of any future results. This information is provided for informative purposes only and should not be construed to be investment advice.
Tags Directory
View allLatest
View all
Tuesday, 19 November 2024
4 min
Monday, 18 November 2024
5 min
Monday, 18 November 2024
3 min
EN
