Samsung Units Report Record Q3 Profits Driven by AI
Samsung Electronics and Samsung Electro-Mechanics reported record third-quarter profits fueled by surging demand for AI memory chips and semiconductor package substrates.
Two major Samsung units reported record financial results for the third quarter ending September 30, citing a surge in artificial intelligence demand. Samsung Electronics reported a record operating profit of 107.4 trillion won, a nearly ninefold increase from the previous year, with revenue reaching 195.25 trillion won. This growth was driven by robust demand for advanced memory chips used in AI applications.
Simultaneously, Samsung Electro-Mechanics saw its operating profit surge 166% to 691 billion won, with consolidated revenue rising 30% to 3.763 trillion won. The company attributed these gains to high demand for multilayer ceramic capacitors and semiconductor package substrates used in AI data centers, which offset losses in its camera module business.
To sustain this momentum, Samsung Electronics announced a partnership with French startup Mistral AI to integrate AI into semiconductor design and manufacturing, while leading Mistral's Series D funding round. The company also committed to a $500 million investment in KKR-backed Helix Digital Infrastructure and declared a 30 trillion won dividend payment. Samsung Electronics predicts that the chip supply shortage will deepen next year, a sentiment echoed by rival SK Hynix.
