Samsung raises earnings forecast as chip sales surge amid tariff concerns
Despite a rise in chip sales according to its latest earnings report, Samsung is still facing challenges from declining prices and delayed shipments.
Tech giant Samsung Electronics increased its earnings guidance for the first quarter of the year on Tuesday. It comes following a surge in sales ahead of expected US tariffs on chip imports, News.Az reports citing Euronews.
The company expects consolidated sales to come in at about 79 trillion Korean won (€48.8 billion), with consolidated operating profit estimated to be around 6.6 trillion Korean won (€4.1 billion).
The consolidated operating profit estimate for the first quarter of 2025 is more than than the 5.2 trillion Korean won (€3.2 billion) predicted by the London Stock Exchange Group’s StarMine SmartEstimates model.
Similarly, the consolidated sales guidance is an increase of almost 10% year-on-year from the company’s Q1 2024 consolidated sales figure.
Samsung’s shares closed 0.6% higher on the Korea Exchange on Tuesday following the update.
This updated guidance comes as Samsung continues to experience a boost in sales, driven mainly by better-than-expected demand for its DRAM chips and its flagship artificial intelligence smartphones.
This flurry of buying activity has been exacerbated by the expectation of US tariffs on chip imports in the coming months.
Although most semiconductors are currently exempt from US tariffs, following his Liberation Day speech, US president Donald Trump threatened that levies on chip imports would be implemented very quickly too. This has supported demand for both less sophisticated and advanced ‘legacy’ chips.
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