Samsung Electronics has released preliminary earnings guidance for the fourth quarter of 2025, revealing a record-breaking operating profit of around 20 trillion Korean won (≈ $13.8 billion) nearly three times higher than the same period a year earlier. This marks the highest quarterly operating profit in the company’s history, surpassing its previous peak set in Q3 2018.
The extraordinary earnings jump roughly 208 % year-on-year is attributed primarily to surging global demand for high-performance memory chips used in artificial intelligence applications and data centers. Samsung’s semiconductor division, particularly its memory chip business, has benefited from tight supply and escalating prices for DRAM and high-bandwidth memory (HBM) chips as AI infrastructure builds accelerate.
Analysts note that memory chip prices have climbed sharply, with DDR5 and HBM contract pricing rising as companies like Nvidia, Google, Meta, Microsoft, and AMD expand AI server deployments. This has shifted the supply-demand balance and allowed Samsung to charge premium rates for its chips, boosting revenue and margins.
In addition to the profit increase, Samsung’s revenue for Q4 2025 is expected to be around 93 trillion won, up about 23 % year-on-year, reflecting strong overall growth in the business driven by the AI chip cycle.
Industry commentary and analyst estimates suggest that Samsung’s Device Solutions (semiconductor) division is the chief contributor to the sharp profit rise, thanks to memory sales. Although Samsung has not released a detailed breakdown for each business segment in its preliminary report, the semiconductor profit surge is widely recognized as the driving force behind the earnings beat.
The company’s mobile division, including smartphones like Galaxy AI-enabled devices, faces margin pressure due to rising component costs. Nonetheless, Samsung’s focus on integrating AI across its product lineup is seen as part of its strategy for future growth.
Full quarterly results, including net income and detailed segment breakdowns, are scheduled for release in late January 2026.
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