Samsung reports $13.8 billion operating profit in Oct-Dec quarter

Seoul, Jan 8 Samsung Electronics on Thursday reported a record-breaking operating profit for the fourth quarter, touching the 20 trillion-won ($13.8 billion) mark for the first time, driven by a supercycle in the chip industry.

The fourth-quarter operating profit marked a more than 200 percent rise from a year earlier, the company said in a preliminary earnings report.

If confirmed, it would mark the first time for the company's quarterly earnings to reach the 20 trillion-won level, reports Yonhap news agency.

Sales increased 22.7 percent to 93 trillion won. It was also the first time for the quarterly sales to surpass the 90 trillion-won mark.

The data for net profit was not available.

The operating profit was 1.8 percent higher than the average estimate, according to a survey by Yonhap Infomax, the financial data firm of Yonhap News Agency.

Samsung Electronics did not disclose a detailed earnings breakdown for its individual business divisions.

The company will release its final earnings report later this month.

Analysts said the increased earnings apparently came amid improved profitability at the Device Solutions (DS) division, which covers the company's core semiconductor business.

According to Korea Investment & Securities Co., global prices of dynamic random-access memory (DRAM) and NAND flash jumped about 40 percent in the fourth quarter from the previous three-month period.

Market observers estimate the operating profit of the DS division at around 16 trillion to 17 trillion won. The projection represents a sharp rise from just 7 trillion won posted in the third quarter.

Analysts said Samsung's non-memory business is also likely to have narrowed its operating losses, leading to an overall improvement in the division's performance.

Samsung's mobile business is estimated to have posted an operating profit in the 2 trillion-won range, while the home appliance business likely suffered an operating loss of 100 billion won, according to market watchers.

For the entire year of 2025, Samsung Electronics estimated its annual operating earnings at 43.53 trillion won, up 33 percent from a year earlier.

Annual sales increased 10.6 percent to 332.77 trillion won. Data for net profit was not available as well.

For 2026, analysts said Samsung Electronics is anticipated to maintain its robust performance, backed by its expanded high bandwidth memory (HBM) capacity.

"This year, Samsung Electronics is expected to post an annual operating profit of 123 trillion won, driven by a sharp rise in DRAM prices and increased HBM shipments," said Kim Dong-won, a researcher at KB Securities Co.

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