Samsung Shares Surge After 50-1 Stock Split, Record Earnings

  • Shares jump after announcement of 50-to-1 stock split
  • Component demand fueling earnings, even with higher Korean won
Bloomberg’s Stephen Engle reports on Samsung Electronics’ financial results and stock split.(Source: Bloomberg)
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Samsung Electronics Co. is splitting its stock as a “step to enhance shareholder value,” after reporting record earnings on robust demand for memory chips and sales of high-end displays for the iPhone X.

The company’s shares rose as much 8.7 percent after the board approved a 50-to-1 split on Wednesday, the Suwon, South Korea-based company said in a statementBloomberg Terminal. Net income rose to a record 12 trillion won ($11.2 billion) in the three months ended December, Samsung said in a filingBloomberg Terminal. That compares with the 12.1 trillion won average of estimates compiled by Bloomberg.