Samsung Electronics announced preliminary third-quarter operating profit of 107.40 trillion won ($80.2 billion), marking the first time the company surpassed the 100 trillion won threshold in its history. The figure represented a 782% increase compared to the same period the previous year. Revenue for the quarter was forecast at approximately 195 trillion won, representing growth of nearly 127% year-over-year.
Despite the record financial performance, Samsung’s stock price declined 0.7% on the announcement day. Analysts attributed the market reaction to exceptionally elevated expectations surrounding artificial intelligence-related semiconductor demand. According to Josh Gilbert, lead analyst for APAC at eToro, the company’s record results still fell short of what investors anticipated, illustrating how demanding conditions have become in the memory chip sector serving AI applications.
The sustained momentum reflects continued robust demand from the artificial intelligence industry. Supply constraints in the memory chip market remain tight, supporting pricing and volumes for manufacturers. Additionally, memory buyers have increasingly committed to multiyear supply agreements, providing Samsung with greater visibility into future demand and reducing uncertainty about potential industry downturns that have historically affected the sector.
Samsung has reinforced its position in AI-related markets through strategic investments and partnerships. In September, the company announced a partnership with French artificial intelligence startup Mistral AI, with intentions to deploy the startup’s AI models throughout its semiconductor operations. The company’s second-quarter results had already demonstrated strong momentum, with record revenue of 171.5 trillion won and operating profit of 89.5 trillion won driven primarily by its memory business. Full earnings details by business division are expected later in the month.
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