Samsung sees strong AI demand after profit triples to record high
It reported revenue of 93.8 trillion won (S$82.1 billion) in the fourth quarter
Add BT as a preferred source
[SEOUL] Samsung Electronics said its operating profit more than tripled to a record high in the fourth quarter and forecast strong chip demand ahead, as the race to build artificial intelligence strains chip supply and boosts prices.
The results underscore the strong pricing power of the world’s top memory chipmaker whose profit growth is expected to accelerate this year.
“The ongoing AI boom is expected to continue driving favourable market conditions across the industry” in the first quarter of 2026, Samsung said in a statement.
The South Korean company posted 20 trillion won (S$17.7 billion) in operating profit for the October to December period, in line with its estimate of 20 trillion won and up from 6.49 trillion won a year earlier.
It reported revenue of 93.8 trillion won (S$82.1 billion) in the quarter, up 24 per cent from a year earlier.
Operating profit at Samsung‘s chip business, its main cash cow, surged 470 per cent to a record high 16.4 trillion won in the fourth quarter from a year earlier, while profit at its mobile phone business, squeezed by surging chip prices, declined to 1.9 trillion won.
Samsung co-CEO TM Roh described the acute chip shortage as “unprecedented” in an interview with Reuters, adding that he did not rule out raising prices. REUTERS
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
Share with us your feedback on BT's products and services
TRENDING NOW
Qatari LNG ship struck in Strait of Hormuz, testing US talks
DBS shares rise 1.9% to hit all-time intraday high as sentiment improves
‘Baptism of fire’: Andre Khor on leading Singapore refiner Aster through an energy crisis
Singapore retains top spot as most expensive city for HNWIs, with five Apac cities in global top 10
