Samsung AI chip demand drives record Q2 profit forecast
Samsung expects a record second quarter as soaring demand for AI memory chips, including HBM4, drives higher revenue and operating profit.
Artificial intelligence is creating winners across the semiconductor industry, and Samsung appears to be one of the biggest beneficiaries. Samsung Electronics has forecast record financial results for the second quarter of 2026, driven by booming demand for AI memory chips used in data centres and AI servers.
The company expects April-to-June operating profit to reach 89.4 trillion won, or around $58.8 billion, while revenue is projected at 171 trillion won. If these figures are confirmed in the company's detailed earnings report later this month, it will mark Samsung's third consecutive record-breaking quarter.
AI servers are driving chip demand
The biggest factor behind Samsung's strong outlook is the rapid expansion of AI infrastructure. Technology companies and cloud providers are investing heavily in data centres capable of training and running advanced AI models.
These facilities require large volumes of high-performance memory, particularly server DRAM and premium solid-state drives (SSDs), where Samsung remains one of the industry's leading suppliers.
Although Samsung has not provided a breakdown by business unit, analysts expect its semiconductor division to account for much of the earnings growth as demand for AI memory continues to outpace supply.
HBM4 is becoming increasingly important
A major part of Samsung's AI strategy is High Bandwidth Memory 4 (HBM4), the latest generation of memory designed specifically for AI workloads. HBM is a specialised type of memory in which multiple memory chips are stacked vertically and placed close to the processor.
This design allows AI systems to transfer enormous amounts of data quickly while improving energy efficiency during AI training and inference. Inference refers to the stage where a trained AI model generates responses or performs tasks for users.
Samsung has confirmed that it has started mass production and shipments of HBM4, positioning the company to benefit from growing demand for advanced AI hardware.
Strong profits despite bonus provisions
Samsung's earnings guidance also includes provisions for a special performance bonus linked to its semiconductor business. Under the company's wage agreement, employees are eligible for a performance-based award of 10.5%, payable in company shares over at least 10 years.
Analysts estimate this provision at around 20 trillion won. Without this one-off expense, Samsung's underlying operating profit would be even higher, highlighting the strength of its semiconductor business.
What to watch next
Samsung's detailed second-quarter earnings later this month will provide investors with a clearer picture of production capacity, HBM4 shipments and pricing trends. The outlook will also offer insight into whether demand for premium AI memory can remain strong through the rest of 2026 and into 2027.
For the wider AI industry, Samsung's forecast reinforces a growing reality. As companies race to build larger AI systems, advanced memory has become just as critical as powerful processors. That demand is helping drive record earnings for chipmakers and reshaping the global semiconductor market.