Samsung also projected its revenue to hit 74 trillion won, falling short of LSEG smart estimates of 75.55 trillion won. The company has been falling behind competitors like SK Hynix and Micron in high-bandwidth memory chips.

Samsung Electronics on Tuesday projected a far worse than expected 56% plunge in second-quarter operating profit due to weak AI chip sales, deepening investor concerns over the tech giant's ability to revive its struggling semiconductor business.

Analysts have said that Samsung has been declining, losing out to competitors because of factors other than the US export restrictions.