(LEAD) Samsung Electro-Mechanics logs record profit in Q3 on AI boom

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By Kim Han-joo

SEOUL, Oct. 28 (Yonhap) -- Samsung Electro-Mechanics Co., an electronic components affiliate of Samsung Electronics Co., said Wednesday its third-quarter revenue and operating profit reached record highs, driven by strong demand for products used in artificial intelligence (AI) infrastructure.

Operating profit for the July-September period jumped 165.5 percent on-year to 691 billion won (US$516 million), while revenue increased 30.3 percent to 3.76 trillion won, both setting quarterly records, the company said in a regulatory filing.

Net profit also rose 115.7 percent from a year earlier to 485 billion won.

Samsung Electro-Mechanics attributed the improved earnings to increased sales of multilayer ceramic capacitors (MLCCs) for AI data centers, including servers and network equipment, as well as automotive applications.

Sales also grew in its component business across all application areas, led by AI-related products, while sales of flip-chip ball grid array substrates for AI data centers and automotive applications expanded.

The company also reported increased shipments of camera modules for next-generation platforms of global electric vehicle (EV) customers.

Samsung Electro-Mechanics said it is working to meet long-term MLCC supply agreements with major global technology companies and plans to strengthen its market position by developing advanced products earlier.

It also aims to respond promptly to rising customer demand for package substrates used in AI data centers and expand sales by supplying camera modules for next-generation EV platforms.

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