Samsung Electronics estimated a record first-quarter operating profit of 57.2 trillion won ($37.9 billion) on Tuesday, driven by surging demand for AI chips. The figure marks a 755 percent increase from a year earlier, with sales reaching 133 trillion won for the first time exceeding 100 trillion won. The results surpassed analysts' expectations amid a booming AI sector.
Samsung Electronics released its first-quarter earnings guidance on Tuesday, projecting an operating profit of 57.2 trillion won and sales of 133 trillion won. The operating profit surged 755 percent from 6.61 trillion won a year earlier, while sales rose 68 percent. This marks the first time quarterly figures exceeded 50 trillion won in operating profit and 100 trillion won in sales, surpassing the company's full-year 2025 operating profit of 43.6 trillion won in just three months.
The results far exceeded brokerages' consensus of 117 trillion won in sales and 38.1 trillion won in operating profit, earning descriptions as a "super surprise." It was 36.7 percent above the average estimate from a Yonhap Infomax survey.
The semiconductor unit, or Device Solutions (DS) division, is believed to have driven the performance. Amid explosive AI demand, Samsung began mass production of its sixth-generation HBM4. Mirae Asset Securities estimated DS operating profit at over 42 trillion won.
Big Tech firms have signed long-term memory supply deals with Samsung, prioritizing supply security. The Mobile Experience (MX) division saw revenue gains from the Galaxy S26 launch but operating profit likely halved to around 2 trillion won due to rising memory costs. "With long-term contracts with major hyperscale clients, such robust earnings are expected to continue," said Chae Min-sook of Korea Investment & Securities. Samsung will release detailed results later this month.
