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Today, Samsung Electronics revealed its earnings for the first quarter of 2025. Despite its struggles in the semiconductor and smartphone segments, its business was pretty good. The company's revenue was KRW 79.14 trillion (~$55.66 billion) during the quarter, while its operating profit was KRW 6.7 trillion (~$4.71 billion).
Compared to Q1 2024, Samsung's revenue was 10% higher and operating profit was 1.2% higher.
After revealing its Q1 2025 earnings estimations earlier this month, Samsung revealed its actual figures today. The company's earnings exceeded market expectations. According to the South Korean firm's regulatory filing, its net income was KRW 8.22 trillion (~$5.7 billion), which is 21.7% higher.
Samsung attributed higher net profit to strong sales of the Galaxy S25 series, which was launched earlier this year. Samsung DX, which includes its home appliances, smartphones (and other mobile devices), and TVs, saw a 28% jump in sales to KRW KRW 51.7 trillion (~$36.34 billion) and achieved a profit of KRW 4.7 trillion (~$3.3 billion).
The South Korean tech giant's mobile division, Samsung MX, alone achieved sales of KRW 37 trillion (~$26 billion), with profits exceeding KRW 4.3 trillion (~$3.02 billion).
The company is still struggling with its semiconductor chip business, though. Its chip division's sales fell to KRW 25.1 trillion (~$17.63 billion), which is a reduction of 17% compared to last year. Its operating profit was jusst KRW 1.1 trillion (~$772 million). And that is due to Samsung's poor performance in the high-bandwidth memory (HBM) segment. Its HBM3E chips still haven't received Nvidia's certification, which is the most important thing in the HBM segment right now.
Samsung Foundry, the company's contract chip manufacturing division, also struggled during Q1 2025 due to low fab utilization and seasonal weakness.
System LSI, Samsung's chip design division that makes Exynos chips and ISOCELL camera sensors, showed modest growth. Its ISOCELL camera sensors saw increased sales, as more smartphone brands are using its 50MP and 200MP camera sensors for telephoto and ultrawide cameras.
Samsung's isn't thrilled about the next quarter, as it said Q2 2025 performance could reduce. However, the South Korean firm said things will likely improve in the second half of this year. It will launch the Galaxy S25 Edge next month and upgraded LPDDR5X and 12-layer HBM3E chips in the coming months.
In July, the company is also expected to launch the Galaxy Z Flip 7 with a bigger battery and the Galaxy Z Fold 7 with a bigger screen, an upgraded camera, improved performance, and more imporantly, segment-leading thinness.
The post Samsung’s profit rises 21.7%, driven by strong Galaxy S25 sales appeared first on SamMobile.