SEOUL, July 30 (AJP) -Samsung Electronics, the world's largest memory maker, on Thursday reported a record operating profit of 89.2 trillion won ($64.4 billion) from its chipmaking operations in the second quarter at a margin of about 70 percent, underscoring sizzling demand for high-performance memory products despite its late entry into the HBM race.
The Device Solutions (DS) division posted an operating profit of 89.2 trillion won, compared with 8.1 trillion won a year earlier, while revenue rose to 127.5 trillion won on both record DRAM and NAND demand.
Companywide, Samsung confirmed record quarterly revenue of 171.5 trillion won and operating profit of 89.5 trillion won, the highest in its history.
The company said a stronger U.S. dollar provided a positive foreign-exchange effect of about 3.1 trillion won on operating profit from the previous quarter, mainly benefiting its component businesses, while research and development spending reached a record 16 trillion won as it continued investing in future technology competitiveness.
Samsung said the memory business achieved another record quarter by actively responding to strong demand for server products fueled by the spread of agentic AI.
It also expanded shipments of high-bandwidth memory (HBM4) and became the first in the industry to ship HBM4E samples, strengthening its technology leadership.
The System LSI business posted record first-half revenue despite softer overall demand, supported by higher sales of mobile system-on-chip processors and image sensors. The foundry business also improved as demand increased for HBM base dies and products from customers in the United States.
The Device eXperience (DX) division generated 48 trillion won in revenue but posted an operating loss of 0.8 trillion won. The mobile business recorded higher sales on solid demand for the Galaxy S26 flagship lineup and A-series smartphones, but profitability declined as higher component costs weighed on margins.
The network business improved from both a year earlier and the previous quarter on stronger overseas sales, while the visual display business benefited from demand tied to major sporting events and new product launches, lifting both revenue and profitability.
The home appliance business posted higher sales from seasonal air-conditioner demand, although earnings fell because of rising costs.
Harman reported revenue of 4.6 trillion won and operating profit of 0.4 trillion won as expanding automotive electronics sales and solid demand for portable audio products boosted earnings.
Samsung Display posted revenue of 7.5 trillion won and operating profit of 0.7 trillion won, supported by resilient demand for premium small and medium-sized OLED panels and stronger sales of large displays driven by the growing gaming monitor market.
Looking ahead, Samsung said overall earnings are expected to continue growing in the second half as semiconductor demand remains strong. The company plans to expand sales of HBM4, HBM4E, DDR5, SOCAMM2 and enterprise SSDs, while its foundry business will begin mass production of second-generation 2-nanometer mobile chips and seek additional AI and high-performance computing orders.
It also expects to strengthen smartphone sales with the premium Galaxy Ultra and new Z8 foldable series, expand AI-powered consumer electronics and home appliances, and accelerate mass production of its 8.6-generation display line.
Shares of Samsung Electronics opened Thursday 2 percent higher.
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