Samsung weathers the chip shortage storm, as the tech giant said it expected its profit to jump 52 per cent for the last three months of 2021.
The world’s biggest memory chip maker estimated that it made 13.8tn won (£8.5bn) in the period, thanks to strong demand for server memory chips and higher profit margins.
However, is lower than the 15.2tn won forecast by a Refinitiv SmartEstimate. Sales were estimated at Won76tn, up 23.5 per cent from a year earlier.
Analysts told the BBC that Samsung was able to benefit from currency fluctuations. Technology analyst Sam Reynolds said: “The Korean won continues to depreciate, making Korea’s exports more attractive on the global market.”
He also highlighted that the firm had benefited from currency fluctuations: “The Korean won continues to depreciate, making Korea’s exports more attractive on the global market.”
It comes after the company’s chip manufacturing operation in Xi’an, China, went into lockdown from 23 December following a coronavirus outbreak.
Samsung commented that it would “temporarily adjust operations” at its sites in Xi’an, but did not indicate how it would affect business.
Shares were up by over two per cent this morning for the world’s largest producer of computer chips and smartphones.