Samsung’s operating profit shoots up

Samsung Electronics has projected record first quarter operating profit, as strong demand for smartphones and memory chips which offset slowing down on the display panels and its premium Organic light emtting diode (OLED) .

The groups operating profit for the first three months of 2018 at Won 15.6tn (£10.44bn) ( US$14.4bn) up 58 per cent from a year earlier. The company is expected to surpass sales of Won 60tn for the first quarter up 19 per cent from 2017.

According to analysts the memory chip is the major contributing factor accounting for 75 per cent of its operating profit. The operating profit from their semiconductor business is at about Won 11.6tn as strong Dram – a core memory chip product used in computer servers – offset falling prices for N and flash.

With the successful launch of Samsung Galaxy S9, as they shipping 9.3m units in the first quarter, Samsung’s mobile business is faring much better than expected in January-March 2018.