Samsung Electronics has opened the era of quarterly operating profits exceeding 100 trillion won for the first time in the history of Korean companies. It is estimated that the DS (Device Solutions) division, which handles the semiconductor business, alone generated approximately 108 trillion won, surpassing the company's total operating profit. The semiconductor sector offset sluggish performance in other businesses such as TVs, home appliances, and smartphones, driving record-high results.
On the 8th, Samsung Electronics disclosed its preliminary consolidated Q3 results for this year, reporting revenue of 195 trillion won and an operating profit of 107.4 trillion won. Revenue increased by 126.59% and operating profit rose by 782.50% compared to the same period last year. Compared to the previous Q2, operating profit also grew by 20.01%.
The results exceeded the operating profit forecast (approximately 106 trillion won) expected by the securities industry. The operating profit margin recorded 55.1%. The operating profit margin of the Memory division is expected to reach the 80th% range. Samsung Electronics has set new all-time highs for both revenue and operating profit for four consecutive quarters since Q4 last year.
The majority of the operating profit is analyzed to have been generated by the DS (Device Solutions) division, which oversees the semiconductor business. Rising commodity DRAM prices, coupled with the full-scale supply of 6th-generation High Bandwidth Memory (HBM4) for NVIDIA's next-generation AI (Artificial Intelligence) platform "Vera Rubin," boosted memory performance. The foundry (semiconductor contract manufacturing) business is also estimated to have narrowed its losses as utilization rates rose, driven by expanded production of 4-nanometer (nm; 1 nm = one-billionth of a meter) base dies embedded in HBM4 and NVIDIA's AI inference chip "Groq3" Yangsan.
In contrast, the DX (Device Experience) division, responsible for TVs, home appliances, and smartphones, appears to have posted sluggish results for two consecutive quarters. In particular, industry sources report that the MX (Mobile eXperience) business unit recorded a loss due to increased cost burdens from rising memory prices. It is also known that the VD (Visual Display) and DA (Digital Appliances) business units saw their losses widen.
in INDUSTRY
