Samsung Electronics' 2024 Q2 Report Strong Performance in Semiconductors and Mobile
TapTechNews July 31st news, on July 31st, Samsung Electronics announced its second-quarter financial report for 2024, showing sales of 74.07 trillion Korean won (TapTechNews note: currently about 388.942 billion yuan), net profit of 9.64 trillion Korean won (currently about 50.62 billion yuan), and operating profit of 10.44 trillion Korean won (currently about 54.82 billion yuan). Samsung Electronics expects the memory demand for HBM, DDR5, and SSD to remain strong in the second half of 2024, and will expand production capacity in the second half to increase the sales proportion of HBM3E.
Previously, in the announcement on the 5th, Samsung Electronics had estimated the sales in the second quarter of this year to be 74 trillion Korean won (currently about 388.574 billion yuan) and the operating profit to be 10.4 trillion Korean won (currently about 54.61 billion yuan).
In each business department, the DS (DeviceSolutions) department responsible for semiconductors led the overall performance with an operating profit of 6.45 trillion Korean won (currently about 33.869 billion yuan). The semiconductor department achieved an operating profit of 1.91 trillion Korean won (currently about 10.029 billion yuan) in the first quarter, returning to profitability after a five-quarter interval, and the operating profit growth further expanded in the second quarter.
Driven by the generative AI boom, the demand for high value-added products such as high-bandwidth memory (HBM) and DDR5 (DRAM) has increased. Samsung Electronics said: The sales of products centered around servers such as HBM and DDR5 have expanded, and at the same time the company actively responds to the demand for high value-added products for generative AI servers, resulting in a significant improvement in performance compared to the previous quarter.
Samsung Electronics stated that the overall demand for smartphones is expected to increase year-on-year in the second half of 2024, and the demand for high-end products will be driven by the growth in the demand for artificial intelligence.
The combined revenue of Samsung's MX department (Mobile Experience) and network business in the second quarter was 27.38 trillion Korean won (currently about 143.772 billion yuan), operating profit was 2.23 trillion Korean won (currently about 11.71 billion yuan). Samsung Electronics said that due to the continuous seasonal trend in the smartphone market, the overall market demand for smartphones has continuously declined, especially in the high-end market. Although the revenue of the MX business has continuously declined, the shipment and revenue of the Galaxy S24 series in the second quarter and the first half of the year have achieved double-digit year-on-year growth compared to the previous-generation products, showing the continuous success of this series.