Samsung’s profit triples as AI boom supercharges chip sales

Samsung Electronics has announced its final earnings figures for the fourth quarter (Q4) of 2025. The company reported revenue of KRW 93.8 trillion (approximately $65.76 billion) and an operating profit of KRW 20.1 trillion (approximately $14.09 billion). Profits tripled and revenue increased by 23.8 percent compared to Q4 2024.

These figures are in line with its earnings estimates it posted earlier this month.

The South Korean firm said its revenue, operating profit, and net profit all surpassed previous records, driven by a sharp increase in semiconductor chip sales. Sales of DDR DRAM, which is used in consumer PCs and servers, high-bandwidth memory (HBM), and NAND flash chips for SSDs performed exceptionally well due to the global artificial intelligence boom. The company plans to further boost sales and profitability by launching its HBM4 chips in Q1 2026.

As expected, Samsung’s chipmaking arm, Samsung Device Solutions, outperformed all other divisions. It posted a record operating profit of KRW 16.4 trillion (approximately $11.49 billion) in Q4 2025, representing a 5.65-fold increase year over year. A global shortage of memory and storage chips allowed Samsung to raise prices, contributing significantly to its higher profits.

Samsung’s smartphone and TV businesses, which operate under the Samsung DX division, reported an operating profit of KRW 1.9 trillion (approximately $1.33 billion). This figure was slightly lower than the KRW 2.1 trillion (approximately $1.47 billion) profit recorded in Q4 2024. Meanwhile, the company’s Digital Appliances and TV businesses posted an operating loss of KRW 0.6 trillion (approximately $420 million).

Samsung said it plans to boost smartphone sales through new product launches, including the Galaxy S26 series, as well as thinner and lighter foldable devices.

The company also aims to improve the profitability of its TV business by focusing on super-sized TVs, QLED TVs, OLED TVs, and its recently launched Micro RGB TVs. These efforts will be timed around major events such as the FIFA World Cup 2026, when consumer demand for TV upgrades typically increases.

Samsung’s network equipment business (Samsung Networks) also performed well, supported by increased orders from North America. It plans to improve the business through its ORAN and vRAN solutions for cellular network operators in newer markets.

Additionally, the company plans to expand sales of digital home appliances by emphasizing business-to-business, direct-to-consumer, and subscription-based models. It also expects to grow revenue following its recent acquisition of FläktGroup, a leading European heating, ventilation, and air conditioning (HVAC) company.