Samsung will release its preliminary Q2 financial results tomorrow: profits are expected to surge 18 times, with executives boasting that "one year's profits are equivalent to 40 years' worth."
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Samsung released its Q2 earnings forecast: operating profit increased by over 1800% year-on-year, with single-quarter profit exceeding the total of the previous three years.
BlockBeats reported on July 7th that global semiconductor giant Samsung Electronics released extremely strong preliminary financial results for the second quarter. Data shows that, driven by the powerful wave of artificial intelligence (AI), the world's largest memory chip manufacturer is experiencing its most prosperous profit cycle in history. According to the financial report, Samsung's operating profit in the second quarter surged 1810.2% year-on-year, reaching 89.4 trillion won (approximately US$58 billion). This figure not only far exceeded the market's previous expectation of 84.2 trillion won, but also remarkably surpassed the company's total profit for the three years from 2023 to 2025. At the same time, the company's revenue also increased by 129% year-on-year, reaching 171 trillion won. Following Samsung Electronics' earnings forecast, SanDisk (SNDK.O) and Micron Technology (MU.O) saw their US-listed shares decline in after-hours trading. Samsung's explosive performance directly benefits from the near-"thirsty" orders for high-performance memory chips from AI data centers. Industry giants like Nvidia and OpenAI have repeatedly stated publicly that the shortage of memory chips has become a core bottleneck for current AI development. Because major manufacturers prioritize the production capacity of high-bandwidth memory (HBM), which is designed specifically for AI and offers higher profits, this has conversely squeezed the conventional memory space needed for smartphones, PCs, and enterprise servers. This "capacity squeeze" effect has led to a severe shortage in the global memory market. HSBC data shows that in the second quarter of 2026, the average selling price of DRAM increased by more than 40% compared to the previous quarter, and NAND prices increased by more than 50%; Citi Research gives even higher estimates, at 44% and 53% respectively. Analysts generally believe that this "seller's market" will continue at least until 2027, giving Samsung and its long-time rivals SK Hynix and Micron Technology extremely strong pricing power.
Samsung's performance will be a key test for the AI chip market; Q2 operating profit is expected to surge 18 times.
Samsung Electronics, the memory chip maker, is set to release its second-quarter results on Odaily. Analysts predict preliminary operating profit of 84.3 trillion won (approximately $55.1 billion), an 18-fold increase year-over-year and exceeding its full-year profit for 2025. Revenue is expected to grow by 127% to a record 169 trillion won. Since June, chip stocks have experienced several significant corrections due to market concerns about intensified competition, potential overcapacity, and the return on massive AI investments. This further amplifies the importance of Samsung's results, leaving very little room for disappointment given already high market expectations. Roundhill Financial CEO Dave Mazza stated, "Samsung's results come at a time when the market is simultaneously questioning the supply and demand sides of the investment logic in memory chips. If the results are close to market expectations, it will help quell the controversy and benefit Samsung." (Jinshi)
Samsung's soaring profits couldn't mask underlying concerns, and its stock price plummeted, dragging down the KOSPI index by 6%.
Odaily Odaily that Samsung Electronics, a South Korean company, released its preliminary second-quarter results this morning, showing a 19-fold year-on-year increase in operating profit, surpassing the total profits of the past three years. Specifically, Samsung forecasts second-quarter operating profit of 89.4 trillion won (up 1810.2% year-on-year), compared to market expectations of 87.3 trillion won. However, the company's stock price plummeted as the results failed to alleviate market concerns about the sustainability of the AI-driven chip boom. Samsung shares plunged more than 8% in early trading, while rival SK Hynix shares also fell 7.3%, dragging down the South Korean KOSPI index by 6%. Analysts attributed the weakness in Samsung shares to overly high market expectations—profits driven by record memory chip prices could have exceeded 90 trillion won after accounting for employee bonus provisions; in addition, the market was concerned that the construction of AI data centers might slow down. Albert Yong, Managing Partner at Petra Capital Management, stated, "Samsung's strong results were already widely anticipated by the market and largely priced in during the pre-earnings surge. Investors remain concerned about the sustainability of the AI boom and the risk of a potential slowdown in AI infrastructure spending by major US tech companies." (Jinshi)
Samsung's second-quarter earnings forecast hit a record high: surging memory chip sales offset weak overall device business.
PANews reported on July 5th that, according to Etoday, Samsung Electronics is expected to release its preliminary financial results for the second quarter of 2026 on July 7th. The market generally anticipates its operating profit to reach approximately 85 trillion won, continuing its historically high profitability. Financial data agencies predict that the company's second-quarter revenue will be approximately 169.4 trillion won, with an operating profit of approximately 85.5 trillion won, representing a significant year-on-year increase, primarily driven by soaring memory chip prices fueled by demand for AI infrastructure. Analysis shows that the semiconductor division (DS) has become the core profit engine, with the average selling price of DS and NAND flash memory expected to increase by 40% to 60% quarter-on-quarter. The significant expansion of AI computing power has boosted memory demand, contributing over 90% of the company's profits.
South Korean stocks Samsung Electronics and SK Hynix are expected to continue their slight decline tomorrow.
According to BlockBeats, on July 3rd, popular South Korean stocks saw a slight decline during the South Korean stock market close and the US stock market open, and the downward trend is expected to continue tomorrow: Samsung Electronics' on-chain contract is currently trading at $184.63, compared to Thursday's close of $185.11; SK Hynix's on-chain contract is currently trading at $1410, compared to Thursday's close of $1415.53.
US pre-market news at a glance: Samsung's earnings report triggered a collective weakness in semiconductor stocks in pre-market trading; SpaceX officially debuts on the Nasdaq 100 today.
According to BlockBeats, the following are key market news items before the US stock market opened on July 7th: 1. Samsung released its Q2 earnings forecast, showing an operating profit increase of over 1800% year-on-year, with single-quarter profits exceeding the total of the previous three years. Simultaneously, the company's revenue also increased by 129% year-on-year, reaching 171 trillion won. Affected by the semiconductor sell-off triggered by the "sell-off" of Samsung's earnings, chip-related technology stocks generally weakened in pre-market trading. The three major US stock futures indices showed mixed results in pre-market trading: Dow Jones futures rose 0.41%, Nasdaq 100 futures fell 0.9%, and S&P 500 futures fell 0.09%. 2. SpaceX officially debuted on the Nasdaq 100 before the US stock market opened today, with Wall Street institutions collectively bullish. Most institutions believe that SpaceX is no longer just a traditional aerospace company, but a platform company with the potential for rocket launches, Starlink satellite internet, AI infrastructure, and future space computing. 3. DeepSeek is secretly developing its own inference chip. If successful, this would reduce reliance on external suppliers and give it more cost-effective hardware control. However, the project is still in its early stages and faces manufacturing and memory acquisition restrictions due to US export controls. 4. UBS recommends investors buy SK Hynix's upcoming American Depositary Receipts (ADRs) and sell its South Korean shares, as these new shares are expected to trade at higher prices. 5. JPMorgan strategists say the recent weakness in semiconductor stocks should be seen as a buying opportunity, as the chip upcycle is not yet over, and truly meaningful new supply may not appear until 2028. 6. US ADP employment change for the week ending June 20 was 21,000, compared to 30,750 in the previous week. 7. BlackRock will launch an ETF tracking the tech-heavy Nasdaq 100 index, aiming to meet investors' growing demand for participation in the AI-driven stock market rally and challenge Invesco's dominant position. 8. Amazon is returning to the US bond market to raise funds for its artificial intelligence infrastructure. The company will issue eight benchmark bonds with maturities ranging from 3 to 40 years, raising at least $25 billion in the dollar bond offering. 9. Global brokerages have begun coverage research on Elon Musk's SpaceX (SPCX.O), and a preliminary consensus has formed on Wall Street: buy the stock. At least six brokerages, including Morgan Stanley, Goldman Sachs, and UBS, have given it a buy rating, optimistic about its long-term growth prospects, although doubts remain about profitability and valuation.