Samsung reports record quarterly profits

Samsung may be on course to hit its most lucrative quarter ever, predicting a record operating profit of over 9 billion.

The South Korean tech firm today reported its forecasts for Q2 2017, which included a consolidated operating profit of around 14 trillion Korean Won - easily the largest quarterly profit in the company's history. The figure represents a 2.6 billion jump from the last quarter, and a mammoth 72% increase on the same quarter last year.

The spike has largely been driven by the company's chip-making business, analysts say, rather than its more well-known smartphone division. Limited supply and soaring demand have combined to force industry prices higher, leaving Samsung in an enviable position.

Indeed, some analysts are even predicting that the company is on course to unseat tech titan Intel from the top spot in the semiconductor industry. "From the second quarter, Samsung will become number one in market share due to the recent increase in data centres and demand for solid-state drives," wrote Peter Lee, analyst for NH Investment & Securities analyst, in a note to clients.

Samsung is doubling down on its silicon success too, announcing earlier this week that it will be investing $18 billion in its chip manufacturing business. This includes expansion of its plants in South Korea and China.

The news indicated that the company appears to have put the embarrassing failures of last year - which included the mass recall of the original Galaxy Note 7 and the arrest of one of its top executives as part of a bribery scandal - behind it. The company has just relaunched the Note 7, and is gearing up for the launch of the Note 8.