Samsung Electronics Posts 89.4 Trillion Won in Operating Profit, Surpassing NVIDIA [Record-Breaking Results]

Samsung Electronics delivered quarterly results that surpassed NVIDIA, the world's most valuable company by market capitalization. Backed by soaring prices for Dynamic Random Access Memory (DRAM) and an artificial intelligence (AI)-driven semiconductor supercycle, it posted 89.4 trillion won in operating profit in the second quarter of this year alone. That works out to nearly 1 trillion won in operating profit per day over three months. The figure includes a large provision for employee bonuses. Including that amount, Samsung Electronics' second-quarter operating profit exceeds 100 trillion won. If the trend continues, analysts say operating profit could easily top 100 trillion won in the third quarter as well. The results are being seen as proof of resilient demand, easing concerns that the memory market may have already peaked.
Samsung Electronics said on the 7th that consolidated sales and operating profit for the second quarter were provisionally estimated at 171 trillion won and 89.4 trillion won, respectively. Compared with a year earlier, sales jumped 129.3 percent and operating profit surged 1,810.3 percent. As a result, Samsung Electronics has set new all-time highs for sales and operating profit for three consecutive quarters since the fourth quarter of last year.
Sales, which first surpassed 130 trillion won in the previous quarter at 133.8734 trillion won, have now broken through the 170 trillion won mark. Second-quarter operating profit alone more than doubled Samsung Electronics' full-year operating profit of 43.6011 trillion won from last year. It also far exceeded the consensus estimate of 84.5994 trillion won compiled by FnGuide. The performance is extraordinary even by global big tech standards. It also surpassed NVIDIA's operating profit of 53.5 billion dollars, or about 81.89 trillion won, in the first quarter of fiscal 2027 (February to April 2026), making it one of the most profitable quarterly results among global tech companies.
In particular, the results include provisions for employee bonuses recognized across both the previous and current quarters. Samsung Electronics and its labor union previously agreed on a wage deal that included special performance bonuses for the Device Solutions Division (DS Division), funded by 10.5 percent of operating profit. Industry sources estimate that the provision for first-half bonuses is around 17 trillion won. Excluding this one-off expense, second-quarter operating profit would be estimated at about 106.5 trillion won. Aside from the 2022 second-quarter result posted by Saudi Aramco, which reported 86.5 billion dollars, or about 132 trillion won, no global big tech company, including Apple, has reached that level.
Although detailed results were not disclosed on the day, the Device Solutions Division (DS Division), which handles the semiconductor business, is believed to have accounted for most of the company's operating profit. The DS Division's operating margin in the second quarter is expected to have been around 80 percent. Injun Son, a researcher at Eugene Investment & Securities, said, "Price negotiations for the third quarter are now under way, and they are being settled at more than 20 percent, well above the single-digit increase that had initially been expected." He added, "The third-quarter price talks are also beating market expectations, which will have a positive effect on earnings."
By contrast, the Device eXperience (DX) Division, which handles finished products, is seeing weaker results as component prices such as memory rise and competition intensifies. Brokerage estimates put operating profit for the Mobile eXperience (MX) Business and the Network Business Division at between 500 billion won and 1 trillion won, while the Visual Display Division (VD Division) and the Digital Appliances Division are each expected to post less than 100 billion won.
Meanwhile, Samsung Electronics shares closed at 296,000 won on the day, down 22,000 won, or 6.92 percent, from the previous session, despite the earnings announcement, which was on the level of a major earnings surprise.
soup@fnnews.com Lim Su-bin, Lee Dong-hyeok Reporter