On October 28th, 2018, Samsung’s headquarters in Mountain View, California.
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Samsung Electronics on Thursday reported operating profit in Korean, with operating profit of 4.7 trillion in the second quarter, lacking forecasts, weighing 93.8% in the chip business.
Samsung’s second quarter operating profit beat its forecast of around 4.6 trillion won, a sharp drop from the 10.44 trillion won recorded in the same period last year.
The South Korean technology giant posted quarterly revenue of 74.6 trillion won for the quarter, rising slightly from the previous year’s 74.07 trillion won.
Samsung’s second quarter results are weighted to more consistently accurate predictions from analysts compared to LSEG SmartEstimate.
Revenue: 74.6 trillion won ($53.5 billion) vs. 74.43 trillion won Operating profit: 4.7 trillion won vs. 5.33 trillion won
Samsung shares fell 1.5% in early trading.
In particular, the Device Solutions division, which covers the business units of memory chips, semiconductor designs and founder companies, recorded an operating profit of 93.8% year on year.
Samsung Electronics’ chip business recorded operating profit of 400 billion won in the second quarter, plunging from 6.45 trillion won in the same period last year. Tip revenue fell to 27.9 trillion won from last year’s 28.56 trillion won.
“One-time costs associated with the memory inventory value adjustments and the effects of China-related export restrictions on non-memory have had a negative impact on profits,” the company said in a statement.
Samsung’s Foundry Business is expected to receive a boost in the next quarter from its $16.5 billion contract to chip to large companies disclosed on Monday.
Samsung has yet to name the counterparty, but Tesla CEO Elon Musk said it is his American electric car maker and the deal could be bigger than what was announced.
Meanwhile, later this year, Samsung said it plans to actively meet the growing demand for high-value AI-powered products and continue to strengthen the competitiveness of its sophisticated semiconductors.
Consumer Devices
Samsung’s mobile experience and network business was responsible for the development and sales of smartphones, tablets, wearables and other devices, reporting increased sales and profits.
The force recorded operating profit of 3.1 trillion won in the second quarter, compared to 2.23 trillion won at the same time last year.
The unit’s consolidated revenue reached 29.2 trillion won, up from 27.38 trillion won last year.
Samsung said both revenue and operating profit have increased over the years through the robust sales of Galaxy S25 series and Galaxy A series smartphones and Galaxy tablets.
“In H2 2025, (Mobile Experience Business) plans to continue its flagship-first approach for smartphone sales focusing on folding and Galaxy S25 series, while highlighting the AI capabilities of the Galaxy A-series.
