SEOUL — Samsung Electronics Co. reported record quarterly revenue and saw net profit grow 31% on the back of booming demand for memory chips, though some growth may soon slow as the global component shortage stalls the assembly of various tech products.
The Suwon, South Korea, company posted a third-quarter net profit of 12.29 trillion won, or the equivalent of $10.5 billion, versus 9.36 trillion won a year earlier.
Samsung /zigman2/quotes/209800866/delayed KR:005930 0.00% , the world’s largest memory-chip and smartphone maker, reported revenue of 73.98 trillion won for the quarter ended Sept. 30, a 10.5% rise from the prior year. The performance topped analyst estimates and highlighted the strength of demand for digital products and services that also recently have lifted the earnings of other tech players as diverse as Microsoft Corp. /zigman2/quotes/207732364/composite MSFT +0.01% to Advanced Micro Devices Inc. /zigman2/quotes/208144392/composite AMD +0.27% .
The South Korean tech giant is considered an industry bellwether as it is both a major electronics maker and components supplier to big tech firms including Apple Inc. /zigman2/quotes/202934861/composite AAPL +2.28% and Sony Group Corp. /zigman2/quotes/208567357/composite SONY +0.95% .
Samsung’s results were driven by the strength of memory chips that go inside mobile devices, personal computers and data servers. Operating profit for Samsung’s chip division in the July-to-September quarter rose 82% from the prior year to 10.06 trillion won, while revenue rose 40% to 26.41 trillion won.
Also popular on WSJ.com: