Samsung Electro-Mechanics Q3 profit soars 165% on AI demand
Optical solutions revenue rose 3% YoY to 941.3 billion won, helped by EV camera modules.
Samsung Electro-Mechanics, a subsidiary of Samsung Electronics, reported a record-breaking third-quarter performance fueled by the surge in artificial intelligence (AI) demand. The electronic components manufacturer revealed that its operating profit in Q3 surged by an impressive 165.5% year-over-year, reaching 691 billion won ($516 million). Revenue for the period also saw a significant 30.3% increase, reaching 3.76 trillion won, setting a new quarterly record.
The company's success can be predominantly attributed to heightened sales of multilayer ceramic capacitors (MLCCs) used in AI data centers, including servers and network equipment, as well as automotive applications. Samsung Electro-Mechanics also saw growth in its component business across multiple application areas, mainly driven by AI-related products. Furthermore, sales of flip-chip ball grid array substrates for AI data centers and automotive sectors experienced an upward trend.
In addition to increased MLCC shipments, the company reported a rise in camera module deliveries for next-generation electric vehicle (EV) platforms. Samsung Electro-Mechanics is actively working to honor long-term MLCC supply agreements with leading global technology entities and aims to solidify its market position by developing innovative products.
The company also intends to meet the growing customer demand for package substrates used in AI data centers and broaden its sales by supplying camera modules for the latest EV platforms.
Written by urgent.news from Yonhap News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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