Samsung Expects Q1 2024 Profit To Surge 931 Percent As It Could Pocket Nearly $5 billion Thanks To Rebounding Memory Chip Prices, Other Factors
Samsung generated an abysmal $556.5 million in operating profit when it announced its Q1 2023 earnings call, resulting in an eye-watering 96 percent decline compared to the previous quarter. At the time, it appeared that the best days were behind the company, but mimicking Huawei’s comeback, the Korean giant quickly phased past all the negatives and expects to post a whopping 931 percent profit in its upcoming Q1 2024 financials.
Analyst believes that Samsung will post impressive earnings in Q1 2024 due to strong Galaxy S24 sales and memory price hikes
A preliminary statement from Samsung provided some insight into its potential earnings, stating that the company’s sales would be in the 70 trillion to 72 trillion Korean won range. In terms of profit, Samsung could pocket up to 6.6 trillion Korean won, or $4.89 billion, resulting in an incredible 931 percent increase compared to the same period a year ago. As reported by CNBC, SK Kim, executive director and analyst at Daiwa Securities, provides the following reasons why the Korean behemoth will post strong earnings in its upcoming Q1 2024 report.
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Just yesterday, we reported that Samsung’s valuation reached $370 billion, with the technology firm first reaching this height back in April 2021. Foreign investors appear to be confident in Samsung’s future, which is why they were said to have purchased an estimated $4.2 billion in stock. One of the reasons why Samsung experienced a terrible run in 2023 despite being the world’s largest DRAM chip maker is because component prices nosedived last year thanks to excess inventory caused by the post-COVID-19 saga.
Additionally, a weakened demand for computing products that take advantage of DRAM memory chips, such as smartphones, tablets, and laptops, resulted in reduced earnings. With the AI era upon us, Samsung recently unveiled its
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