Samsung Stock Jumps Over 6% In Seoul as AI Memory Business Delivers Record Profit: 'Supply Constraints' Expected to Continue

July 30, 2026 - 03:18

Samsung Electronics shares jumped more than 6% in Seoul on Thursday after the company reported a record second-quarter operating profit, driven by booming demand for artificial intelligence memory chips. The strong performance in its semiconductor division offset pressure from higher component costs that weighed on its mobile business.

The South Korean tech giant posted an operating profit of 89.5 trillion KRW, equivalent to about $61.93 billion, for the April-to-June period. That figure exceeded the average analyst estimate of 88.13 trillion KRW, or roughly $60.98 billion, compiled by financial data firms.

The record profit was fueled by surging orders for high-bandwidth memory and other advanced chips used in AI data centers. Samsung said it expects "supply constraints" to continue through the second half of the year, as demand for AI memory remains strong while production capacity stays tight.

The company's mobile division, however, saw earnings squeezed by rising costs for components like displays and processors. Despite strong sales of its flagship Galaxy smartphones, margins in the unit narrowed compared to the previous quarter.

Investors reacted positively to the overall earnings beat and the upbeat outlook for the memory market. Samsung's stock closed at its highest level in several weeks, adding billions to its market value. Analysts noted that the AI-driven chip cycle appears to have further room to run, supporting Samsung's profitability in the coming quarters.