Samsung Electronics Announces First Quarter 2025 Results
Samsung Electronics has reported its financial results for the first quarter ended March 31, 2025, according to a statement released by the company on its official news website, Samsung Newsroom. The company posted a quarterly revenue of KRW 79.14 trillion, an all-time quarterly high, driven by strong sales of flagship Galaxy S25 smartphones and high-value-added products.
The company’s operating profit increased to KRW 6.7 trillion despite headwinds for the DS Division, which experienced a decrease in quarterly revenue. Samsung Electronics has allocated its highest-ever annual R&D expenditure for 2024, and in the first quarter of this year, it has also increased its R&D expenditure by 16% compared to the same period last year, amounting to 9 trillion won.
"Despite the growing macroeconomic uncertainties due to recent global trade tensions and slowing global economic growth, making it difficult to predict future performance, the Company will continue to make various efforts to secure growth," said Samsung Electronics in its report. "Additionally, assuming that the uncertainties are diminished, it expects its performance to improve in the second half of the year."
Semiconductors Projected To Continue Growth by Meeting Evolving AI Needs
The DS Division posted KRW 25.1 trillion in consolidated revenue and KRW 1.1 trillion in operating profit for the first quarter, according to Samsung Newsroom. For the Memory Business, revenue was driven by expanded server DRAM sales and the addressing of additional NAND demand amid a perceived bottoming out of the market price.
However, overall earnings were impacted by the erosion of average selling price (ASP), as well as a decrease in HBM sales due to export controls on AI chips and deferred demand in anticipation of upcoming enhanced HBM3E products. In Q2 2025, the Memory Business anticipates robust demand for AI servers and will therefore seek to strengthen its position in the high-value-added market via its server-centric portfolio, along with a ramp-up of the enhanced HBM3E 12H to meet initial demand.
SDC Aims To Navigate Challenges and Drive Growth With Differentiated Offerings
Samsung Display Corporation (SDC) posted KRW 5.9 trillion in consolidated revenue and KRW 0.5 trillion in operating profit for the first quarter, as reported by Samsung Newsroom. For the mobile display business, SDC reported declining profits QoQ due to seasonality. The results of the large display business have improved via the launch of new QD-OLED monitor products for major clients.
In Q2 2025, the mobile display business maintains a conservative outlook on earnings while pursuing the stable supply of new products such as foldables. For the large display business, demand for gaming monitors is expected to grow due to the upcoming launches of new products. In H2 2025, SDC aims to grow the mobile display business sales through differentiated technologies and products amid rising market uncertainties.
MX Achieves Revenue Growth, Continues To Expand AI Capabilities
The MX and Networks businesses posted KRW 37 trillion in consolidated revenue and KRW 4.3 trillion in operating profit for the first quarter, according to Samsung Newsroom. The MX Business experienced QoQ growth in both revenue and operating profit thanks to the strong sales of its Galaxy S25 series, which features an advanced Galaxy AI experience.
Enhanced cost competency and price declines for some components also contributed to solid double-digit profitability. In Q2 2025, the MX Business plans to sustain flagship-centric sales amid weak seasonality by successfully launching the Galaxy S25 Edge. It will also expand its AI smartphone lineup through the introduction of “Awesome Intelligence” to the Galaxy A series.
Visual Display Posts Solid Performance, Strengthens Advanced AI Features
The Visual Display and Digital Appliances businesses posted KRW 14.5 trillion in consolidated revenue and KRW 0.3 trillion in operating profit in the first quarter, as reported by Samsung Newsroom. The Visual Display Business recorded solid sales of strategic products such as Neo QLEDs, OLEDs, and large models of 75 inches and over, while price increases and material cost reductions resulted in improved QoQ profitability.
In Q2 2025, the Business intends to expand TV sales with its 2025 AI TV lineup and the integration of advanced AI functions. In H2 2025, the Business will focus on capturing peak season demand by strategic collaboration with distributors, based on an enhanced AI TV lineup. As stated by Samsung Newsroom, the company’s performance is expected to improve in the second half of the year, assuming that the macroeconomic uncertainties are diminished.
The information provided in this article is based on the official press release from Samsung Newsroom.
