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Samsung Sets Quarterly Profit Record as AI Memory Boom Lifts Korea’s Tech Suppliers

AI data‑center spending is tightening memory supply, prompting chipmakers to lock in multi‑year deals.

Overview

  • Samsung Electronics, which reported results Thursday, posted 57.23 trillion won in operating profit and 47.22 trillion won in net income on record sales of 133.9 trillion won.
  • Its chip division generated 53.7 trillion won in profit as Samsung forecast strong server‑memory demand, began HBM4 mass‑production sales for Nvidia’s Vera Rubin platform, signed multi‑year supply contracts, and flagged a May 21 union strike threat as a production risk.
  • Higher memory prices lifted chips but raised costs for phones and displays, and Samsung said its mobile profit fell 35 percent to 2.8 trillion won as component costs climbed.
  • LG Electronics, which reported Wednesday, logged 1 trillion won in net profit and record first‑quarter revenue, with appliances and vehicle components topping 10 trillion won in combined sales.
  • Samsung Electro‑Mechanics said first‑quarter net rose 78.4 percent to 252.7 billion won on demand for AI‑server parts such as chip substrates and MLCC capacitors, and it plans broader shipments to a new hyperscaler in the second quarter.