DBT Bureau
Pune, 31 Jan 2026
Samsung Electronics reported financial results for the fourth quarter and the fiscal year 2025.
In the quarter ended December 31, 2025, the Company posted its highest-ever quarterly consolidated revenue at KRW 93.8 trillion, representing a quarter-on-quarter (QoQ) increase of 9%. Operating profit was also an all-time high, at KRW 20.1 trillion. For the full year, the Company reported KRW 333.6 trillion in annual revenue and KRW 43.6 trillion in operating profit.
The Device Solutions (DS) Division posted a QoQ sales increase of 33%, with the Memory Business setting an all-time high for quarterly revenue and operating profit, driven by expanded sales of HBM and other high-value-added products, as well as the overall market price surge.
The Device eXperience (DX) Division experienced a sequential decline in revenue of 8% due to reduced launch effects from new smartphone models, as well as intense market competition.
R&D investments totaled KRW 10.9 trillion, representing a QoQ increase of KRW 2 trillion and setting a full-year record of KRW 37.7 trillion.
Looking ahead to Q1 2026, the DS Division expects AI and server demand to continue increasing, leading to more opportunities for structural growth. In response, the Division will continue to focus on profitability via a strong emphasis on high-performance products.
In 2026 as a whole, the DS Division aims to lead the AI era with product competitiveness amid a rapidly growing demand environment, particularly by expanding the sales of AI-related offerings in both DRAM and NAND.
In 2026, the DX Division plans on expanding AI-driven product offerings and integrating AI technologies across the full device, feature and service ecosystem. The Division will maintain a focus on profitable growth by ensuring component supply stability, implementing efficiency initiatives and bringing the best AI experiences to customers as a leader in the AI era.
Semiconductors To Continue Increasing Revenue
The DS Division achieved a quarterly consolidated revenue of KRW 44.0 trillion and an operating profit of KRW 16.4 trillion for the fourth quarter of 2025.
In Q4 2025, despite limited supply availability, the Memory Business achieved record highs in quarterly revenue and operating profit by addressing strong conventional DRAM demand while expanding HBM sales amid an overall increase in prices. The Business focused on improving profitability via higher sales of high-value-added products such as HBM, server DDR5 and enterprise SSDs.
In Q1 2026, the ongoing AI boom is expected to continue driving favorable market conditions across the industry, and the Memory Business plans to keep prioritizing high-value-added products for AI applications. The Memory Business is on track to begin delivering HBM4 products this quarter — including those with industry-leading 11.7Gbps performance — with the aim of reestablishing a leadership position in the high-end HBM market.
In 2026, the Memory Business will continue to maintain close partnerships with customers based on product competitiveness and aims to address customer demand through the timely shipment of competitive HBM4 and the expansion of sales of AI-related products such as DDR5, SOCAMM2 and GDDR7. It also plans to proactively address AI-related NAND demand with a focus on scaling up sales of high-performance TLC products for Key Value SSD demand for inference.
Earnings for the System LSI Business declined in Q4 2025, due to seasonal demand softness and adjustments to key customer product schedules. However, image sensor revenue grew on the back of new 200MP and 50MP big-pixel products.
In Q1 2026, earnings are expected to recover with new product launches, while image sensor leadership will be reinforced by an expanded 200MP lineup.
In 2026, the System LSI Business will focus on earnings improvement by expanding sales based on differentiated system-on-a-chip (SoC) performance and stabilized yields. In image sensors, the Business will continue to strengthen its competitiveness in fine-pixel technology and sustain its leadership through Nanoprism technology, which enhances light sensitivity.
In Q4 2025, the overall revenue for the Foundry Business increased on strong demand from customers in major markets, while earnings improvement was limited as a result of provisional costs. The Business also commenced mass production of first-generation 2nm products and began shipments of 4nm HBM base-die products.
Looking ahead to Q1 2026, revenue is expected to decline sequentially due to seasonal weakness. Orders are projected to expand, however, largely due to orders from HPC and mobile customers.
As for 2026, the Foundry Business is targeting double-digit revenue growth and improvement in profitability, driven by advanced nodes. It plans to ramp up production of second-generation 2nm products and prepare for the production of performance- and power-optimized 4nm processes. Additionally, it aims to strengthen competitiveness by providing optimized solutions through the integration of logic, memory and advanced packaging technologies.
SDC To Maintain Market Leadership Through Differentiated Technologies
SDC posted KRW 9.5 trillion in consolidated revenue and KRW 2.0 trillion in operating profit for the fourth quarter.
For small and medium displays, SDC achieved solid performance driven by supply stability and increased smartphone demand from major customers, with the expansion of sales in the IT and automotive segments also contributing to earnings growth. The large display business recorded revenue growth by responding to market demand during the year-end peak season.
In Q1 2026, SDC anticipates soft smartphone demand and will accordingly seek to expand sales through the timely development and supply of displays for new major flagship smartphones. For large displays, it aims to proactively respond to the launch of new QD-OLED products and expand sales.
In 2026, SDC will advance its leadership in the smartphone market based on differentiated technologies. It will continue its premium market leadership in TVs by focusing on new high-brightness products, and for monitors, it plans to drive sales expansion based on differentiated performance advantages.
MX To Accelerate Momentum by Advancing AI Leadership
The Mobile eXperience (MX) and Networks Businesses posted KRW 29.3 trillion in consolidated revenue and KRW 1.9 trillion in operating profit for the fourth quarter.
The MX Business achieved double-digit annual profit in 2025 through flagship growth and stable sales of tablets and wearables, although smartphone sales declined in Q4 as new model launch effects normalized.
In Q1 2026, the Business plans to further strengthen its AI smartphone leadership by delivering Agentic AI experiences with the launch of the Galaxy S26 series. It also aims to ensure sustained profitability driven by flagship sales expansion and resource optimization, in addition to addressing global competitive uncertainties by strengthening supply stability.
In 2026, the MX Business intends to consolidate its mobile AI leadership by leveraging next-generation AI experiences as well as innovation in slimmer and lighter form factors. Additionally, it will pursue comprehensive growth across all segments via AI-driven product sales and new market expansion, while upholding a steadfast commitment to profitability through process optimization amid persistent cost pressures.
In Q4 2025, the Networks Business reported improvement to both QoQ and YoY earnings, supported by sales growth in North America. In Q1 2026, the Business aims to drive revenue growth through new orders amid investment headwinds in the telecommunications industry. Throughout the year, the Business will leverage its leadership in vRAN and ORAN to penetrate new markets while securing profitability through cost optimization.
CE Business and Harman Pursue Growth Through Differentiated Customer Experiences
The VD and DA Businesses posted KRW 14.8 trillion in consolidated revenue and KRW 0.6 trillion in operating loss in the fourth quarter.
In Q4 2025, the VD Business saw expanded revenue through robust sales of premium Neo QLED and OLED products as well as an effective response to peak seasonal demand. As intense market competition persisted, however, profitability remained under pressure.
In Q1 2026, the Business will focus on revenue growth and profitability improvement based on reinforced new product lineups such as Micro RGB TVs, as well as high-value-added products like Super Big TVs, QLEDs and OLEDs.
In 2026, the VD Business aims to drive revenue growth by targeting replacement demand driven by global sports events. It will also utilize differentiated AI-based customer experiences to enhance sales leadership.
Earnings for the DA Business declined in Q4 2025 as a result of low seasonal demand for air conditioners and shifting global trade conditions.
In Q1 2026, the Business anticipates an improvement in earnings driven by the expansion of AI product sales and a seasonal recovery in air conditioner demand.
In 2026, the DA Business will seek to accelerate the sales of AI products and expand growth pillars in business-to-business, direct-to-consumer and subscription-based areas. Additionally, along with cost-efficiency initiatives, it will drive HVAC growth through its synergies with FläktGroup — arising from Samsung Electronics’ recent acquisition of the leading European HVAC company.
Harman posted KRW 4.6 trillion in consolidated revenue and KRW 0.3 trillion in operating profit in the fourth quarter.
In Q4 2025, Harman achieved revenue growth by expanding automotive product supply to European OEMs and releasing new portable and true wireless sound (TWS) models, successfully addressing peak season demand and strengthening its brand portfolio.
In Q1 2026, the company aims to expand automotive sales, particularly the sales of digital cockpit and car audio products. It also plans on maintaining revenue growth in its consumer audio offerings.
In 2026, Harman will seek to strengthen its high-growth businesses in automotive and expand orders by acquiring advanced driver assistance system (ADAS) capabilities. In audio, it will strive to expand sales of premium products based on a reinforced brand portfolio.
