- Vatican thriller 'Conclave' drums up Oscars buzz in Toronto
- More civilians killed hours after Sudan rejects UN experts' report
- Ronaldo strikes late to seal Portugal win over Scotland
- Drought sinks longest Polish river to record-low level
- East Timor prepares for first papal visit since independence
- Tearful Sinner dedicates US Open title to seriously ill aunt
- Three things on US Open champion Jannik Sinner
- Ten-man Spain sink Switzerland in 4-1 romp
- Hill sparks Dolphins comeback in wild NFL opening day
- Sinner sweeps to US Open title for second Grand Slam triumph
- Smith heroics for England remind Collingwood of Gilchrist
- Thousands protest Mexican judicial reform
- Nissanka leaves Sri Lanka in sight of third Test win over England
- Kendrick Lamar to headline 2025 Super Bowl halftime show
- Thousands defy roadblocks in rally for Pakistan ex-PM Khan
- Roglic wins record-equalling fourth Vuelta
- Russia advances in east Ukraine, launches deadly air strikes
- Cowboys quarterback Prescott agrees record $240 mln extension
- Swiss double in Paralympic wheelchair marathons, Dutch women retain basketball title
- New 'Beetlejuice' creeps its way to top of N.America box office
- South Africa captain Kolisi leaves Racing 92: French Top 14 club
- Funeral for slain athlete Cheptegei in Uganda on Sept 14
- Dolphins star Hill arrested on way to season-opener
- Smith hits back after England collapse against Sri Lanka
- Weather delays final regattas in Louis Vuitton Cup
- Venezuela's Gonzalez Urrutia: from placeholder to opposition pointman
- Marquez thanks rain for San Marino MotoGP win as leader Martin pays for gamble
- Boeing, union reach preliminary deal to avert Seattle-area strike
- Neuville wins Acropolis Rally to close in on world title
- Venezuela's opposition figure fled to Spain to save 'his life'
- Trump, Harris tied on eve of televised presidential debate
- Paris Paralympics the greatest ever, say former Olympics executives
- Pope exit revives Sri Lanka's hopes in third Test against England
- Gunman kills 3 Israelis at West Bank crossing as Gaza war rages
- Marquez wins San Marino MotoGP as leader Martin pays for rain gamble
- Greece to hike fee for cruise passengers to Mykonos and Santorini
- Carsley's 'refreshing' England overhaul launches new era
- Swiss double in wheelchair marathons on final day of Paralympics
- France's Le Pen urges Macron to hold referendum to break deadlock
- Typhoon Yagi weakens, toll rises to 14 in Vietnam
- India's Randhir Singh elected Asian Olympic chief
- Under pressure, UN winds down 'unique' Iraq probe into IS crimes
- 'Proud' athletics great Weir calls time on marathon Paralympic career
- 'Brave' Afghanistan can beat anyone, says skipper ahead of NZ Test
- Vaughan warns England against 'taking the mick' after Sri Lanka collapse
- England's Moeen Ali retires from international cricket
- Japan's Hirata holds off inspired Smyth to win on Asian Tour
- China's Paralympic domination fails to ignite enthusiasm back home
- Sporting a feathered headdress, Pope finds 'Eden' in Papua New Guinea
- Super Typhoon Yagi toll rises to 9 in Vietnam after landslide
Samsung Electronics Q2 shows fastest growth in over a decade
Samsung Electronics said Wednesday it registered its fastest growth since 2010, with operating profits soaring for the second quarter, as chip prices bounce back and demand for generative AI continues to grow.
The world's largest memory chip maker posted an "operating profit of KRW 10.44 trillion ($7.5 billion) as favorable memory market conditions drove higher average sales price" for the April to June period, it said in a statement.
It added that "robust sales of OLED panels", used in creating digital displays, had also contributed.
The figure is a 1,462.29 percent jump from 670 billion won for the same period a year earlier, exceeding market expectations.
Sales rose 23.4 percent to 74 trillion won, Samsung said.
The firm is the flagship subsidiary of South Korean giant Samsung Group, by far the biggest of the family-controlled conglomerates that dominate business in Asia's fourth-largest economy.
Semiconductors are the lifeblood of the global economy, used in everything from kitchen appliances and mobile phones to cars and weapons.
And demand for the advanced chips that power AI systems has skyrocketed thanks to the success of ChatGPT and other generative AI products.
Samsung is one of only a handful of companies worldwide that manufacture premium high-bandwidth memory (HBM) chips tailored for artificial intelligence processors.
Kim Jae-jun, EVP of memory, told reporters that HBM sales were up 50 percent in the second quarter compared with the three months prior -- and the company was increasing production capacity.
"We have secured nearly four times the volume of customer requests compared to the previous year," he said.
Samsung said in a statement that they would "actively respond to the demand for high-value-added products for AI and will expand capacity to increase the portion of HBM3E sales."
Earlier this month, the company showcased the deployment of AI across a range of its consumer electronic products -- including high-end health wearables -- as it seeks to extend its leadership in global smartphone sales.
"Samsung Electronics' high credit quality is supported by its robust earnings this year that are driven by an upswing in the memory chip cycle," said Gloria Tsuen, VP senior credit officer at Moody's Ratings
"The company's AI chip development and strengthening foundry business will be key to its technological leadership and earnings over the next 12-18 months," she added.
- Semiconductors, strikes -
Semiconductors are South Korea's leading export and $13.4 billion worth were shipped in June, their highest level yet, accounting for a fifth of the country's total exports, according to figures released by the customs service.
In April, the United States announced grants of up to $6.4 billion to Samsung to produce cutting-edge chips in Texas.
That same month, industry tracker International Data Corporation said Samsung regained its position as the top smartphone seller, wresting back the lead from Apple.
Samsung's solid earnings come even as a union representing tens of thousands of workers at Samsung Electronics is staging a so-called "indefinite" strike in a bid to force management to negotiate on wages and benefits.
Thousands of workers joined the strike at the outset, although it is unclear how many people continue to abstain from working.
Samsung said Wednesday that they were "communicating and discussing to ensure that this labor union strike ends early," adding that there was "no problem with responding to our customer volume".
But the union claims the work stoppage has had a negative impact.
"We're getting reports from our members that it is affecting production," Lee Hyun-kuk, vice president of the National Samsung Electronics Union, told AFP.
"The reason we are striking is clear, and we just want the company to bring suggestions that respect workers," he added.
Samsung shares were up 1.2 percent in morning trade in Seoul.
F.Moura--PC