Samsung's Q3 net profit surges sixfold on booming AI chip demand
South Korean technology giant Samsung Electronics reported a more than sixfold increase in third-quarter net profit, driven by robust demand for semiconductors used in artificial intelligence infrastructure, Qazinform News Agency reports, citing Yonhap.
According to the company's regulatory filing released Thursday, net earnings reached 75.13 trillion won (US$56.2 billion) in the July–September period, marking a 514.6% increase from 12.22 trillion won recorded a year earlier.
Samsung's operating profit climbed 783.1% year-on-year to 107.44 trillion won, while consolidated revenue advanced 126.9% to 195.25 trillion won.
The results made Samsung the first technology company worldwide to surpass 100 trillion won in quarterly operating profit. The South Korean chipmaker also extended its record-breaking streak, reporting all-time-high quarterly revenue and operating earnings for the fourth consecutive quarter.
The semiconductor division was the main contributor to the company's performance, generating 106.5 trillion won in operating profit, equivalent to approximately 99.1% of Samsung's overall operating earnings.
The company attributed the division's strong results to increased shipments of sixth-generation high-bandwidth memory (HBM4) chips and growing demand from AI data centers and server manufacturers.
Samsung, the world's largest memory chip producer, has benefited considerably from expanding global investment in AI infrastructure. The company was also the first in the industry to launch mass production and commercial shipments of HBM4 memory.
Looking ahead, Samsung anticipates continued growth in memory chip demand during the final quarter of 2026, supported by ongoing investment in artificial intelligence technologies.
The company also expects favorable conditions in the semiconductor market to persist into 2027, citing strong AI-related capital expenditure and constraints on chip supply.
However, performance across Samsung's other businesses was less favorable.
Its Device Experience division, which includes smartphones and consumer electronics, recorded an operating loss of 800 billion won, marking a second straight quarter in negative territory.
Despite the loss, the division registered higher sales compared with the previous year, supported partly by the introduction of premium smartphones, including the Galaxy Z Fold8. Rising component prices and difficult market conditions continued to weigh on profitability.
Separately, Samsung announced a quarterly cash dividend of 4,601 won per common and preferred share.
The company estimates that total shareholder returns in 2026 could reach between 90 trillion and 110 trillion won. With approximately 35 trillion won already distributed or committed, an additional 55 trillion to 75 trillion won may be returned through dividends, share repurchases and share cancellations.
Samsung's announcement followed another record-breaking earnings report from domestic rival SK hynix, which unveiled a shareholder return initiative exceeding 100 trillion won for 2026.
Earlier, Qazinform News Agency reported that Samsung had forecast a nearly 1,800% year-on-year surge in second-quarter operating profit, driven by booming demand for AI memory chips.
