The world’s largest reminiscence chip and smartphone maker estimates first-quarter revenue reached $11.6bn.
Samsung Electronics Co Ltd on Thursday reported a 50 p.c soar in quarterly working earnings to put up its highest first-quarter revenue since 2018, as strong demand underpinned costs for reminiscence chips.
The world’s largest reminiscence chip and smartphone maker estimated first-quarter revenue at 14.1 trillion received ($11.6 billion), versus a Refinitiv SmartEstimate of 13.3 trillion received ($10.9 billion).
Income probably rose 18 p.c from the identical interval a 12 months earlier to a document 77 trillion received ($63bn), the corporate mentioned in a brief preliminary earnings launch, additionally above market expectations.
Samsung is because of launch detailed earnings on April 28.
Though chip costs dipped within the first quarter, analysts mentioned that they had held up higher than anticipated as a consequence of strong demand in addition to cautious funding spending by chipmakers and restricted capability growth. This buoyed Samsung’s chip earnings which make up about half of its complete income.
The value of 1 sort of DRAM chip, extensively utilized in knowledge centres, fell 8 p.c in the course of the quarter in response to knowledge supplier TrendForce, whereas the costs of NAND flash reminiscence chips, used for knowledge storage in tech gadgets, fell between 5 p.c and 10 p.c.
Analysts count on DRAM costs to proceed to fall within the April-June quarter as rising inflation might probably harm demand for PCs, laptops, and smartphones.
Nevertheless, a uncooked materials contamination in February at a NAND Flash chip plant owned by Japan’s Kioxia and American agency Western Digital is anticipated to drive up NAND Flash costs by 5-10 p.c, offsetting the consequences of modestly excessive inventories maintained by patrons, TrendForce mentioned.