Samsung Electronics Opens Era of KRW 100 Trillion Quarterly Operating Profit... First Ever Among Global Tech Firms (Updated)

3Q revenue of KRW 195 trillion, operating profit of KRW 107.4 trillion
Record highs for revenue and operating profit for fourth consecutive quarter
Sharp rise in memory prices drives earnings
Semiconductor (DS) operating profit estimated at KRW 107 trillion to KRW 109 trillion

Samsung Electronics has ushered in an era of quarterly operating profit exceeding KRW 100 trillion for the first time in the history of South Korean companies. It is an unprecedented record unmatched by any other global technology company. With memory prices continuing to rise amid a boom in artificial intelligence (AI) semiconductors, the company's annual operating profit is expected to surpass KRW 300 trillion this year.

Samsung Electronics disclosed on Oct. 8 that its consolidated operating profit for the third quarter of this year is estimated at KRW 107.4 trillion, up 782.5% from a year earlier. Revenue rose 126.6% over the same period to KRW 195 trillion. The operating profit slightly exceeded market expectations of about KRW 106 trillion.

Samsung Electronics' Seocho office in Seocho-dong, Seocho-gu, Seoul. July 7, 2026. Reporter Yoon Dongju

This is the first time a South Korean company has posted quarterly operating profit of more than KRW 100 trillion. Even among global companies, it is a record no major technology company has reached, with the exception of Saudi Arabia's state-owned oil company, Saudi Aramco. Samsung Electronics' cumulative operating profit for the first three quarters of this year reached KRW 254.1 trillion, bolstering expectations that its annual operating profit will exceed KRW 300 trillion.

After posting record results in the fourth quarter of last year, with revenue of KRW 93.8 trillion and operating profit of KRW 20.1 trillion, Samsung Electronics went on to set new records for both revenue and operating profit for four consecutive quarters. The operating profit in this single quarter alone came close to 2.5 times the company's total operating profit for all of last year, which was KRW 43.6 trillion.

Detailed results by business division were not disclosed on Oct. 8, but securities analysts and the semiconductor industry believe the Device Solutions (DS) division, which handles the semiconductor business, effectively drove the company's results on its own. This was thanks to average selling prices (ASPs) for DRAM and NAND flash surging by around 20% from the previous quarter as memory demand soared amid the race to develop artificial general intelligence (AGI) and expand data centers.

According to an analysis by Meritz Securities, third-quarter operating profit for the Device Solutions division is estimated at between approximately KRW 107.3 trillion and KRW 109 trillion. Of that amount, DRAM is estimated to have generated about KRW 80 trillion in operating profit and NAND flash about KRW 29 trillion. However, the non-memory business, comprising System LSI and foundry operations, is estimated to have continued to post a loss of around KRW 1 trillion to KRW 1.5 trillion, due to initial costs associated with the startup of the Taylor fab in Texas.

Lee Jaeyong, chairman of Samsung Electronics, delivers welcoming remarks at the gala dinner for the KH Collection touring exhibition at the British Museum in London, UK, on the 30th (local time). Photo by Samsung Electronics and Yonhap News Agency.

By contrast, the Device eXperience (DX) division, which handles finished products, is believed to have posted operating losses for a second consecutive quarter due to higher costs resulting from sharp price increases for key components, including memory. The Mobile eXperience (MX) and Network businesses are estimated to have recorded losses of KRW 1.5 trillion to KRW 1.9 trillion, while the Visual Display (VD) and Digital Appliances (DA) businesses are estimated to have posted losses of around KRW 500 billion to KRW 740 billion. Samsung Display and Harman are expected to have provided support, generating operating profits of KRW 1.1 trillion and between KRW 200 billion and KRW 400 billion, respectively.

Industry officials and securities analysts expect Samsung Electronics' improving results to continue through the fourth quarter of this year and into next year and beyond. Market research firm TrendForce forecast that fourth-quarter prices for conventional DRAM would rise by 10% to 15% from the previous quarter, while NAND prices would increase by a further 15% to 20%. The contribution to earnings from sixth-generation high-bandwidth memory (HBM4), which Samsung Electronics became the first in the world to begin mass-producing, is also expected to gain momentum next year.

Kim Sun-woo, an analyst at Meritz Securities, said, "With production shifting primarily to server products, selling prices for mobile DRAM supplied to major customers are expected to surge by more than 50% starting in the first quarter of 2027." He sharply raised his forecast for Samsung Electronics' annual operating profit in 2027 from KRW 562 trillion to KRW 632 trillion.

Kim Dong-won, head of research at KB Securities, also said, "Samsung Electronics' HBM4 is being contracted at the highest price among the three DRAM makers, and is expected to drive up average selling prices for HBM."

This content was produced with the assistance of AI translation services.