Samsung chip profit jumps nearly 800% but misses analyst estimates
Samsung's semiconductor division drove record quarterly earnings as AI chip demand surged, though results fell short of projections.
KEY POINTS
- Samsung's third-quarter operating profit reached 107.4 trillion won, about $80 billion
- Net profit totaled 75.13 trillion won, roughly $56.2 billion
- Semiconductor division operating profit was 106.5 trillion won, below the 108.5 trillion won analyst estimate
- Net profit missed the average analyst projection of 87.01 trillion won
- Samsung became the first tech company to top 100 trillion won in quarterly operating profit
Samsung Electronics reported record third-quarter operating profit of 107.4 trillion won, about $80 billion, a 783.1 percent increase from the same period last year. Revenue reached a record 195.25 trillion won, roughly $145.5 billion, up 126.9 percent annually. Net profit rose 514.6 percent to 75.13 trillion won, about $56.2 billion.
The semiconductor division was the main driver, posting operating profit of 106.5 trillion won, about $79.9 billion, and revenue of 147.1 trillion won, roughly $109.6 billion. Strong demand for AI chips and higher memory prices benefited the memory business, including high-bandwidth memory such as HBM4 used in AI systems.
“Samsung became the first technology company to surpass 100 trillion won in operating profit in a single quarter.”
Despite the historic figures, net profit came in below analyst expectations. Yonhap Infomax projected an average net profit of 87.01 trillion won, about $64.9 billion. The semiconductor unit's operating profit of 106.5 trillion won also fell short of the average analyst estimate of 108.5 trillion won.
Samsung became the first technology company to exceed 100 trillion won in quarterly operating profit. The results were released on Thursday, October 29, 2026. Investor appetite for AI-related companies had cooled in recent weeks after setbacks for specialized AI cloud firms such as CoreWeave.
Samsung expects chip demand to remain strong in the coming months as AI infrastructure expands. The company said investments in this segment for 2027 should further drive demand and tighten supply constraints. Investors are watching for progress in advanced memory technologies such as HBM4, where competition with SK Hynix remains intense.
SK Hynix reported extraordinary results on Wednesday, also boosted by plans to return about $45 billion to shareholders. Samsung faces pressure to demonstrate greater profitability, a more favorable sales mix with higher-value products, and long-term customer purchase commitments.
5 more sources below
COMMENTS (0)
No comments yet. Be the first.
RELATED STORIES
Canada says US trade deal not ready before midterms
Prime Minister Mark Carney says Ottawa is not yet in a position to finalise a trade agreement with the United States.
Banco Sabadell posts 1.376 billion euro profit through September, down 1 percent
Banco Sabadell earned 1.376 billion euros in the first nine months of 2026, a 1 percent decline from the same period last year.
Oil prices swing as US weighs military action against Iran
Oil futures fell Tuesday then rose Wednesday as traders weighed US military preparations against Iran against renewed diplomatic efforts.
- Liberia-flagged Contship Jet sinks off Bulgaria after three maritime drone strikes
- Bank of Canada raises rate by 25 basis points, first hike since July 2023
- Alphabet shares fall as AI search slows ad growth
- BJP wins all four Karnataka MLC seats, says ballot-paper result points to 2028
- Greece drops mandatory electronic payment rule for courier deliveries, cash remains
This page was compiled with AI assistance from the outlets named above and passed an automated language check before publication. Montegre has no reporters of its own; the byline names the outlets the story was compiled from. Method and editorial standards