Samsung operating profit soars amid high chip demand

Samsung Electronics expects its operating profit for the latest quarter to rise more than 15-fold from a year ago. A recovery in chip demand amid the artificial intelligence boom is a major factor.

The South Korean tech giant on Friday released its preliminary financial results for the three months through June. It says operating profit will jump to 10.4 trillion won, or about 7.5 billion dollars.

South Korean media say the figure will top the 10 trillion-won mark for the first time in seven quarters, far exceeding market expectations.

Samsung says revenue will increase by 23 percent.

The firm's semiconductor unit reported a record operating loss last year amid flagging demand.

Local media attribute this year's turnaround to the higher prices of chips that power AI systems.