Samsung is on course to record a three and a half year high in first quarter profits this year, with analysts predicting record earnings for the rest of 2017 as the company gears up to start selling its Galaxy S8 smartphone (via Reuters).

Shares in the tech giant are nearing record highs after gaining nearly 17 percent since the beginning of Q1, coming on top of a 43 percent surge in 2016. The numbers are particularly impressive, given the costly discontinuation of its fire-prone Note7 in October and an ongoing corruption scandal involving the company's chairman Jay Y Lee, who is currently on trial for bribery and other charges. Samsung will issue its earnings guidance early on Friday.

Its resilience is being put down to its dominance in the NAND flash memory market and a boom in memory chips spurred by demand from smartphones and servers. Estimates suggest its January-March operating profit from could hit 9.4 trillion won ($8.44 billion), with its chip division alone making up 5.8 trillion won of that figure, which would stand as the South Korean firm's highest profit since Q3 2013.

Galaxy S8
Analysts expect tight supply conditions for memory chips to continue this year, particularly in NAND flash chips used for long-term data storage. Factor in uncertainty over the fate of Toshiba's flash unit, which accounts for 20 percent of the market and is currently the subject of a bidding war, and that leaves Samsung's mobile division as its key earnings variable.

Analysts are bullish about Samsung's prospects, however. The Galaxy S8 has been praised following its March 29 launch, with sales expected to exceed the S7 and set a new record for the company.

"We think the S8 series will definitely be a strong flagship for Samsung and help it gain back market share," Counterpoint analyst Tom Kang said.

"The launch of the fully revamped iPhone 8 will also be threatening. But there is also pent up demand for Samsung devices rolling over from last year due to the disappearance of the Note 7," he said. "So those 2 factors will balance out."

Samsung share prices have already benefitted from reports that the firm will be Apple's sole provider of OLED displays for the highly anticipated "iPhone 8". Earlier this week, reports indicated Apple has already placed orders for 70 million OLED panels for the phone, which is expected to feature a major design overhaul with an edge-to-edge display, glass body, and a premium price tag.

Top Rated Comments

Solomani Avatar
108 months ago
It's not always a bad thing when the frenemy is doing well.
Score: 5 Votes (Like | Disagree)
djcerla Avatar
108 months ago
More like "Bumper 2017 predicted as Apple orders metric tons of parts ('http://www.dailymail.co.uk/sciencetech/article-4377330/Did-Apple-order-70-million-OLED-screens-Samsung.html')".
Score: 4 Votes (Like | Disagree)
44267547 Avatar
108 months ago
I think the Galaxy S8 is going to be a huge impact for Samsung and considering if a Note 8 debuts in August, but the end game is to see what Apple releases come September. It's Going to be a very interesting year indeed.
Score: 3 Votes (Like | Disagree)
Johnny907 Avatar
108 months ago
Good for them. A healthy Samsung means an innovative Apple. Competition works for fans of both, and I'm about done with complacent Tim Cook.
Score: 3 Votes (Like | Disagree)
69Mustang Avatar
108 months ago
Exactly. As always samsungs profits are proportional to apples success. Thievery. When are Samsung just going to fold and die away. Competition is healthy but not when the competition are blatant thieves. I despise that company and always shudder if I walk past their section in an electrical store.
Might I suggest you get a hobby... or counseling?:p:D The S2 was a long time ago. Apple doesn't care and neither should you. Be happy with your Apple products and let go of the irrational hate. It's not healthy.
Score: 2 Votes (Like | Disagree)
Mad Mac Maniac Avatar
108 months ago
Everybody was like doom and gloom for Samsung. This might be one of the only phone OEM's that can survive a massive recall and still do good. And it's the reason why the Note series still lives on. I'm seriously looking at the Note 8 if Apple does not deliver this year.
This is a good point. Honestly, Samsung is probably in a better situation than Apple. Can you imagine if the iPhone 7 had to entirely be recalled and discontinued? Not only would that absolutely kill sales for a year (presumably they wouldn't have been able to rush out a new iPhone), but the news spin would have been ridiculous. Samsung has a huge backlog of phones they can fall back on. The iPhone would have been dead in the water for a full year.
Score: 1 Votes (Like | Disagree)

Popular Stories

iphone 16 pro models 1

Here's How the iPhone 17 Pro Max Will Compare to the iPhone 17 Pro

Saturday July 5, 2025 1:00 pm PDT by
Apple should unveil the iPhone 17 series in September, and there might be one bigger difference between the Pro and Pro Max models this year. As always, the Pro Max model will be larger than the Pro model:iPhone 17 Pro: 6.3-inch display iPhone 17 Pro Max: 6.9-inch displayGiven the Pro Max is physically larger than the Pro, it has more internal space, allowing for a larger battery and...
iPhone 17 Pro in Hand Feature Lowgo

iPhone 17 Pro to Reverse iPhone X Design Decision

Monday July 7, 2025 9:46 am PDT by
Since the iPhone X in 2017, all of Apple's highest-end iPhone models have featured either stainless steel or titanium frames, but it has now been rumored that this design decision will be coming to an end with the iPhone 17 Pro models later this year. In a post on Chinese social media platform Weibo today, the account Instant Digital said that the iPhone 17 Pro models will have an aluminum...
imac video apple feature

Apple Launching These 15+ Products Later This Year

Sunday July 6, 2025 8:05 am PDT by
The calendar has turned to July, meaning that 2025 is now more than half over. And while the summer months are often quiet for Apple, the company still has more than a dozen products coming later this year, according to rumors. Below, we have outlined at least 15 new Apple products that are expected to launch later this year, along with key rumored features for each. iPhone 17 Series iPho...
iOS 26 Feature

Everything New in iOS 26 Beta 3

Monday July 7, 2025 1:20 pm PDT by
Apple is continuing to refine and update iOS 26, and beta three features smaller changes than we saw in beta 2, plus further tweaks to the Liquid Glass design. Apple is gearing up for the next phase of beta testing, and the company has promised that a public beta is set to come out in July. Transparency In some apps like Apple Music, Podcasts, and the App Store, Apple has toned down the...
iPhone Car Key Kia

Here's Which Vehicles Offer iPhone Car Keys

Sunday July 6, 2025 3:03 pm PDT by
In 2020, Apple added a digital car key feature to its Wallet app, allowing users to lock, unlock, and start a compatible vehicle with an iPhone or Apple Watch. The feature is currently offered by select automakers, including Audi, BMW, Hyundai, Kia, Genesis, Mercedes-Benz, Volvo, and a handful of others, and it is set to expand further. Apple has a web page with a list of vehicle models that ...
iPhone 17 Pro in Hand Feature Lowgo

iPhone 17 Pro Coming Soon With These 14 New Features

Friday July 4, 2025 1:05 pm PDT by
Apple's next-generation iPhone 17 Pro and iPhone 17 Pro Max are just over two months away, and there are plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models. Latest Rumors These rumors surfaced in June and July:Apple logo repositioned: Apple's logo may have a lower position on the back of the iPhone 17 Pro models, compared to previous...
iphone 17 pro render majin bu

New iPhone 17 Pro Renders Highlight Apple Logo and MagSafe Design Changes

Sunday July 6, 2025 8:43 pm PDT by
New renders today provide the best look yet relocated Apple logo and redesigned MagSafe magnet array of the iPhone 17 Pro and iPhone 17 Pro Max. Image via Majin Bu. Several of the design changes coming to the iPhone 17 Pro model have been rumored for some time, such as the elongated camera bump that spans the full width of the device, with the LiDAR Scanner and flash moving to the right side. ...
iPhone 14 Pro Dynamic Island

iPhone 17 Models Rumored to Feature Redesigned Dynamic Island

Monday July 7, 2025 7:38 am PDT by
iPhone 17 models will feature a redesigned Dynamic Island user interface, according to a post today from Digital Chat Station, an account with more than three million followers on Chinese social media platform Weibo. The account has accurately leaked some information regarding future Apple products in the past. The account did not share any specific details about the alleged changes that are ...
Prime Day 25 Feature Warm Triad

The Best Prime Day Deals on AirPods, iPads, MacBooks, and More

Monday July 7, 2025 10:55 am PDT by
Amazon Prime Day is currently in its second day, and this year the event will last for four days from July 8-11, the longest Prime Day yet. As it does every year, Prime Day offers shoppers a huge selection of deals across Amazon's storefront. With the event now underway, we're tracking numerous all-time low prices on Apple gear right now. Note: MacRumors is an affiliate partner with Amazon....