Shares of Samsung Electronics rose as much as 4.8% on Tuesday after the South Korean technology giant forecast record quarterly profit amid strong demand for artificial intelligence chips. Shares later pared gains to trade up 0.52%.
In its preliminary earnings guidance, Samsung projected its operating profit for the January-March quarter to reach 57.2 trillion won ($37.8 billion), up more than eightfold from just 6.69 trillion won a year ago.
That profit, if it comes to fruition, would represent a quarterly record — nearly three times the previous high — and would exceed estimates of 42.3 trillion won from LSEG SmartEstimate, which is weighted toward forecasts from analysts who are more consistently accurate.
Meanwhile, the company’s estimated consolidated revenue was projected to surge nearly 70% from a year ago to 133 trillion Korean won.
Samsung’s upbeat guidance was likely driven by its memory chip business, particularly demand for high-bandwidth memory chips used in AI computing.
Its Device Solutions division, which includes memory chips, accounted for 39% of Samsung’s revenues and 57% of its operating profits in 2025.
Demand for high-bandwidth memory chips has become so explosive over the past year that it has triggered shortages across the memory market, driving massive price and volume spikes for memory makers like Samsung.
The results also reflect that Samsung has been strengthening its position in high-bandwidth memory chips after giving up an early lead to its South Korean rival SK Hynix.
The company is expected to report full earnings later this month.