The global artificial intelligence investment boom is driving a surge in demand for high-bandwidth memory (HBM). Samsung Electronics Co., Ltd. reported that its first-quarter HBM revenue increased by more than threefold year-over-year. Combined with a sharp rise in the price of general-purpose DRAM, the company's quarterly operating profit is expected to surpass 40 trillion won for the first time, setting a new historical record for a South Korean enterprise.
According to sources familiar with the matter, Samsung Electronics' HBM revenue grew by over 300% in the first quarter, primarily driven by a significant increase in shipments to NVIDIA. The company is scheduled to officially announce its first-quarter results next week.
Simultaneously, the general-purpose DRAM market is also experiencing a supply shortage. Based on the DDR4 8Gb specification, current prices are approximately ten times higher than in the first quarter of last year, and advance orders for next year have already sold out.
Market expectations indicate that Samsung Electronics' first-quarter revenue will exceed 120 trillion won, with operating profit approaching or even surpassing the 40 trillion won mark.
The substantial increase in HBM revenue was directly caused by a rapid expansion in supply to NVIDIA. After Samsung Electronics began supplying its fifth-generation product, HBM3E, to NVIDIA in the second half of last year, related revenue immediately showed a steep upward trend.
In February of this year, Samsung Electronics further announced that it was the first in the world to achieve mass production of its sixth-generation product, HBM4. This product will be integrated into NVIDIA's next-generation AI accelerator, "Vera Rubin."
This development signifies that Samsung Electronics has established a continuous layout in its high-end HBM product line, from supply to iteration, which helps solidify its core position in the AI chip supply chain.
Beyond HBM, the general-purpose DRAM market is also displaying unusually strong momentum. Industry insiders report that the current price of DDR4 8Gb products is about ten times higher than in the first quarter of last year. Furthermore, customer orders extend into next year, with production capacity almost entirely sold out.
The dual boost in volume and price has laid a solid foundation for Samsung Electronics' first-quarter performance. The combined effect of high-margin HBM and the rising volume and price of general-purpose DRAM has led to continuous upward revisions of external expectations for its quarterly profitability.
Considering these factors, market expectations for Samsung Electronics' first-quarter results have significantly warmed. One industry representative commented, "Samsung's first-quarter operating profit is forecast to be around 40 trillion won."
If this prediction materializes, a quarterly operating profit of 40 trillion won would set the highest record ever for a South Korean company. A revenue scale of 120 trillion won would also break Samsung Electronics' own quarterly record.
Samsung Electronics will officially release its first-quarter financial data next week, providing final confirmation of these expectations.
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