Memory chips have helped power Samsung Electronics through another likely record quarter. But headwinds are building, both short and long term. Industry consolidation that has helped all the major memory-chip players could soon be undermined by new supply from China.
The South Korean technology giant said Thursday it expects revenue last quarter to have hit a record 77 trillion won, the equivalent of $63 billion, an 18% increase from a year earlier. Operating profit is also expected to rise 50% year-over-year. Both numbers are above consensus analyst estimates according to S&P Global Market Intelligence data. Samsung will report its full results later this month.