[Global Network Technology Reporter Chen Jian] According to South Korean media reports, Samsung announced its 2017 second quarter performance outlook. Initially verifying that its operating profit in the second quarter of 2017 will reach 14 trillion won (approximately RMB 82.4 billion), an increase of 72% from 8.14 trillion won (approximately RMB 47.9 billion) in the same period of last year. With strong chip business and strong sales of Samsung S8, Samsung Electronics is expected to set a new quarterly profit. According to a report released by Samsung, sales of Samsung Electronics in the second quarter of 2017 were 60 trillion won (approximately 353.1 billion yuan), which exceeded the average analyst estimate of 58.4 trillion won, compared to 509,400 in the same period last year. Billion won (approximately RMB 299.8 billion) only increased by 18%. In terms of profit margins, Samsung’s operating profit was 14 trillion won (US$12.1 billion), an increase of 72% from 8.14 trillion won for the same period of last year, which exceeded the average analyst estimate of 13 trillion won. In the case of a mere 18% increase in turnover, the profit increased by 72%, indicating that Samsung’s profit margin has improved significantly. Samsung Electronics’ previous quarter’s highest profit was 10.16 trillion won (approximately RMB 59.8 billion) in the third quarter of 2013. If the Samsung’s estimate is inaccurate, then the second quarter of 2017 will be Samsung’s highest quarter. Operating profit data, and exceeding the previous record of 40%. Samsung will publish the final financial data at the end of this month to announce the second quarter net profit and the performance of various departments. Samsung’s official forecast is that Samsung’s chip division’s operating profit will reach 7.5 trillion won, its mobile equipment division’s profit will reach 3.8 trillion won, and its display divisions such as OLED screens will have a profit of 1.5 trillion won. Samsung S8 hot and memory prices are the main reason Analysts believe that Samsung’s soaring sales of memory chips also contributed to Samsung’s second-quarter profit surge, and that Samsung also surpassed Intel, the world's largest semiconductor manufacturer, for the first time. Due to the strong market demand coupled with the current replacement cycle, memory prices have continued to soar, and the recent increase in data centers and the demand for SSDs have also increased. According to InSpectrum Tech, a storage chip research company, the average price of 4Gb DDR3 chips was 2.97 US dollars in the second quarter, which was higher than 1.58 US dollars a year ago. Market data showed that Samsung won the global storage chip market in the first quarter of this year. 40.4% of revenue accounted for. Samsung recently announced plans to invest at least US$18.6 billion in South Korea to consolidate its leading position in memory chips and next-generation smartphones. Nomura expects that prices for DRAM chips will continue to rise in the second half of this year due to limited supply and strong demand from servers. However, industry insiders predict that as the competitors' strength and market demand gradually become saturated, chip prices may decline in March 2018, but in 2017, strong demand may continue to promote chip prices, analysts expect, third Samsung's profits may reach new heights in the quarter. And many analysts believe that Samsung is expected to replace Intel this year and become the world's largest chip maker by sales. In addition, in the OLED field, Samsung is still the leader, and in the second half of the year, Apple’s iPhone 8 will purchase Samsung's OLED screens on a large scale, which is still an explosive growth point for Samsung Display. Samsung's Note 7 was negatively affected last year, resulting in the loss of Samsung’s mobile division’s profits. However, Apple Inc. and Chinese smartphone makers did not launch enough products to take over the Samsung market during this period, and Samsung S8, which was launched in April this year, had strong sales. According to an analysis agency's forecast, the Galaxy S8 series will have sales of approximately 49 million units this year, which is equivalent to the sales of the Galaxy S7 in the first year of its listing. Moreover, in the third quarter, Samsung will also launch a new Note 8 series to ensure its competitive advantage. Up to now, Samsung Electronics' share price has risen by 30%, compared with 43% last year.
