SEOUL, July 30 (Yonhap) — Samsung Electronics Co. on Thursday reported strong second-quarter earnings on the back of robust chip demand and one-off gains from its display unit.
Its net profit stood at 5.55 trillion won (US$4.7 billion) in the April-June period, up 7.23 percent from a year earlier, the world’s largest memory chipmaker said in a regulatory filing.
Its operating profit jumped 23.5 percent on-year to 8.14 trillion won in the second quarter of the year, but sales fell 5.6 percent on-year to 52.96 trillion won over the cited period.
The figures were in line with the earnings guidance announced earlier this month that beat the market consensus.
Samsung said its upbeat performance was anchored by its device solutions (DS) division as demand for server chips from data centers remained solid with the pandemic-driven, stay-at-home trend.
The second-quarter bottom line was also helped by one-time gains from its display panel (DP) business. Samsung did not disclose the exact amount of one-off profit, but industry insiders speculate it received more than $900 million from Apple Inc., which apparently failed to buy contracted volumes of Samsung Display Co.’s mobile display panels.