Samsung Electronics Co., the world's biggest maker of memory chips, announced 20.4 trillion won ($18 billion) of new investments to expand semiconductor output in South Korea. Samsung Electronics has jumped 64% over the past year, and Thursday's close at 2,403,000 won falls just short of last week's fresh record high.
Samsung may for the first time to circumvent Apple's quarterly operating profit. When compared with the same period a year ago, this is an increase of 17.79 and 71.99 percent respectively. Unless it stuns the market, Samsung Electronics would have performed better than the world's top technology company in terms of market cap. Additionally, the company is cementing its position by investing around $18.6 billion toward memory chips and next-generation smartphone displays.
Analysts said Samsung is expected to continue to post strong earnings this year.
The company commonly bankrolls its chip enterprises with more than $10 billion a year to lead the industry, outstripping such rivals as S. Korea's SK Hynix and Japan's Toshiba.
Samsung now forecasts its quarterly profit to be over $12 billion, or around 14 trillion won.
It also suffered a blow to its reputation after a humiliating mass recall previous year of its Galaxy Note 7 smartphone over faulty, exploding batteries.
It was also rocked by a crisis at its smartphone business when a number of its flagship Galaxy Note 7 devices were reported to have caught fire during use.
The result beats expectations and puts Samsung on track to report the highest profit in its history for the full year.
Moving into the third quarter, Samsung is poised to see continued growth.