Samsung profit soars 14.5x given AI chips, OLEDs in Q2 2024

Samsung announced Q2 2024 profit increased by 1,458% given booming AI chip demand and robust OLED sales. The company earlier announced sales and profit estimates, while the sales results came better than expected.

The company’s Mobile Division (MX and network businesses) posted 27.38 trillion won in consolidated revenue and 2.23 trillion won in operating profit.

Samsung notes that its profitability declined slightly due to increased costs stemming from the rising prices of essential components. However, the mobile business achieved double-digit profitability for the entire first half of the year.

The company’s System LSI Business scored record-high sales for the year’s first half. Earnings have been improved due to the increased supply of key components such as SoCs, image sensors, and display driver ICs for major flagship products.

3nm-based Exynos W1000 has been used in the latest Galaxy wearables. And for the first time, Samsung confirmed that it plans to ensure a stable supply of the Exynos 2500 for flagship models, tentatively the Galaxy S25 and S25 Plus.

Samsung posted 74.07 trillion won in consolidated revenue and an operating profit of 10.44 trillion won. Profitable memory market conditions drove higher average sales price and robust sales of OLED panels also contributed.

The South Korean tech giant expects AI servers could take up a larger portion of the market in the second half. Memory chip demand is expected to remain strong across the board from HBM and DDR5 to server SSDs.

Samsung’s DS Division posted 28.56 trillion won in consolidated revenue and 6.45 trillion won in operating profit. The memory market continued its recovery thanks to continued AI investments and growing demand for AI from businesses for on-premise servers.