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samsung's record-breaking profits clouded by predictions of end to chip boom - samsung
Samsung's strong demand for memory chips and the success of the latest smartphone have led the South Korean electronics giant to forecast record quarterly profits.
However, due to warnings that the chip boom has peaked in the past 18 months, the company's active financial position has been canceled, resulting in a slight decline in the company's shares.
Samsung Electronics, the largest and most famous part of the Samsung empire, expects operating profit to reach £ 15. 6 trillion won (£10. 4bn)
In the first three months of 2017, pc increased by 58on-year.
Revenue has climbed to 60 trillion won, up 19 PCs, the company said.
If the data were confirmed when Samsung released its full results later this month, it would be the most profitable quarter the company has ever had and one of the biggest quarterly profits any company has ever had, second only to major rivals Apple and oil giants Shell, Gazprom and Exxon.
While Samsung is known for its smartphones, televisions and home appliances, much of the company's profits come from memory components that have billions of gadgets and computer servers.
Analysts stressed this week that the growing competition among memory makers could lead to lower prices, meaning Samsung could struggle to maintain record profits last year.
Shares fell 0.
Although the profit exceeded expectations, it was still 7 PCs.
Despite the company's turmoil, its excellent financial performance has emerged.
Jay Y Lee, the heir to the Samsung empire, was sentenced to less than a year in prison for taking bribes and embezzling public funds.
This year, he was released after the court commuted his sentence and said he would appeal again to clarify his name.
The chief executive of the electronics department resigned last year for what he called an "unprecedented crisis.
Samsung released the iPhone challenger Galaxy S9 last month.
Early forecasts showed strong sales of the device in the first few weeks.
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