The Korean tech company Samsung was a noticeable riser on the stock exchange in Seoul on Thursday. The company posted a better-than-expected revenue increase in the past quarter of 21 percent.
In doing so, Samsung allayed investors’ worst fears about the impact of weakening consumer demand and rising material costs hampering the chip industry. A sector worth $550 billion.
Samsung was more than 3 percent higher in Seoul. South Korea’s largest company is one of the first major tech companies to report preliminary figures after a pivotal quarter. The positive results of the company boosted indicators in the region. Investors saw the company’s revenue growth as a sign that chip stocks may be undervalued.
In the wake of Samsung, the South Korean competitor SK Hynix rose more than 2 percent. In Taiwan, TSMC won 4.5 percent. The smaller rival United Microelectronics rose more than 7 percent in Taipei. The four Asian chip makers jointly gained about $ 30 billion in market value in the meantime. The rebound was not enough to erase previous losses.
The Kospi in Seoul climbed 1.9 percent due to the profit of heavyweight Samsung. The sentiment was also largely positive elsewhere in the region. In Japan, the Nikkei was 1.2 percent higher. The All Ordinaries in Sydney (plus 0.4 percent) were also higher. In Shanghai and Shenzhen, gains of up to 1 percent were on the plates. The Hang Seng index in Hong Kong lagged behind and lost 0.4 percent in the meantime.