Recently, Samsung Electronics officially reported financial results for Q3 2026. The Company posted KRW 195.3 trillion in consolidated revenue, another all-time quarterly high, representing a quarter-on-quarter (QoQ) increase of 14%.
Samsung Electronics Q3 2026 results
Samsung Electronics became the world’s first tech company to exceed KRW 100 trillion in quarterly operating profit, as its operating profit reached KRW 107.4 trillion.
Device Solution (DS) Division
The DS Division posted KRW 147.1 trillion in consolidated revenue and KRW 106.5 trillion in operating profit for the third quarter.
The Memory Business achieved another record-breaking quarter by managing its product mix, with a focus on AI products, amid capacity constraints. Strong demand momentum for servers led to higher market prices across all applications. Additionally, the Business experienced continued robust demand, driven by AI applications. It significantly scaled up sales of HBM4 on the back of industry-leading product competitiveness while proactively addressing growing demand for server SSDs.
In Q4 2026, the Memory Business expects industry-wide competition for AI leadership to drive continued AI infrastructure investment. The Memory Business will also maintain a sales strategy focused on AI applications to solidify market leadership. The Business aims to achieve this by further increasing HBM, server DRAM, and SSD sales, while also increasing the supply of high-speed server DDR5 products and QLC SSDs.
In 2027, the Business expects AI infrastructure capital expenditure to reach a historic level as the AI ecosystem expands. Additionally, increasing AI-driven demand will far exceed the industry supply in comparison with 2026. The Business also aims to leverage its superior technology to bolster market leadership and optimize product mix in alignment with market trends and customer needs.
The System LSI Business achieved revenue growth in Q3 2026, driven by the mass production of systems-on-a-chip (SoCs) and image sensors for new models launched in H2. Additionally, the custom SoC business secured projects by establishing new customer partnerships. In Q4 2026, the Business plans to maintain stable production and sales of flagship SoCs and 200MP image sensors.
The Foundry Business experienced a notable revenue and earnings improvement on HBM base-die sales growth and expanded advanced-node sales, as well as continued order wins centered on 2nm HPC customers, including major hyperscalers.
In 2027, the System LSI Business aims to expand flagship SoC sales and strengthen partnerships with custom SoC customers. Looking ahead to Q4 2026, the Foundry Business plans to achieve double-digit revenue growth and continued earnings improvement on new mobile products, mass production ramp-up of 4nm NPUs, and expanded memory product sales.
Samsung Display Corporation
Samsung Display Corporation (SDC) posted KRW 8.0 trillion in consolidated revenue and KRW 1.1 trillion in operating profit for the third quarter.
For the small and medium display business, SDC reported improved earnings based on solid demand for high-end mobile products, while the large display business expanded sales volume and revenue on the growth of the gaming monitor market.
In Q4 2026, SDC expects a positive effect from year-end peak seasonal demand and new product launches, but it anticipates a limited improvement in earnings due to external factors. Meanwhile, in 2027, SDC expects continued market demand weakness amid ongoing uncertainty. For smartphones, the small and medium display business aims to increase the portion of premium products like foldables, and for IT, the business will pursue sales expansion through the ramp-up of the new 8.6G IT line and strengthening of the product lineup. The large display business aims to continue pursuing improved profitability centered on high value-added models.
MX and Network Businesses
The MX and Networks Businesses posted a combined KRW 37.7 trillion in consolidated revenue and reported an operating loss of KRW 0.6 trillion for the third quarter. Revenue increased QoQ and year-on-year (YoY), mainly driven by new flagship launches including foldables. Earnings increased QoQ with an improved flagship sales mix, but declined YoY due to cost pressures.
In Q4 2026, the MX Business plans to drive year-end peak-season sales growth centered on flagships including the Galaxy S26 series, Galaxy Z Fold8 Ultra, and Z Fold8, as well as new ecosystem products. In 2027, the MX Business aims to maintain its mobile leadership by focusing on three strategic priorities. First, it will improve its product mix, centered on flagships with differentiated experiences by customer segment. Second, it will enhance the desirability and deliver tangible value of products through hardware and form-factor innovation. Third, it will minimize declines in profit with agile market responses and operational efficiency initiatives.
In Q3 2026, the Networks Business saw a decline in earnings QoQ and YoY due to lower North American and high-margin software sales. In Q4 2026, the Business aims to secure profitability through revenue growth in North America, Korea, and Japan
VD/ DA Businesses
The Visual Display (VD) and Digital Appliances (DA) Businesses posted a combined KRW 13.9 trillion in consolidated revenue and reported an operating loss of KRW 0.2 trillion for the third quarter.
In Q4 2026, the VD Business aims to capture peak season demand through strengthened channel partnerships and differentiated marketing, while expanding sales of premium products in order to offset the impact of rising costs. In 2027, while overall TV demand is expected to remain flat or decline slightly, the Business will focus on securing profitable growth engines by delivering differentiated TV experiences, as well as strengthening the service and platform businesses.
In Q4 2026, the DA Business intends to improve profitability with a higher premium mix, and in 2027, it aims to secure profitability by expanding sales of innovative AI products and growing its high-margin B2B businesses.
Shareholder return
The third-quarter cash dividend amounts to KRW 4,601 per common share and KRW 4,601 per preferred share, totalling KRW 30 trillion.
Of the estimated KRW 90~110 trillion in total shareholder returns for 2026, and with KRW 35 trillion already planned or completed, the company anticipates the remaining funds to be KRW 55~75 trillion.
The company recognises the growing market interest in the price gap between common and preferred shares, and is committed to actively considering and adjusting the proportion of preferred shares in our share repurchase and cancellation program based on market conditions.
Q3 2026 Capital Expenditure
In the third quarter, Samsung Electronics’ capital expenditure reached KRW 29 trillion, an increase of KRW 12.2 trillion quarter-on-quarter (QoQ) and KRW 19.8 trillion year-on-year (YoY). Capital expenditure consisted of KRW 27.2 trillion spent in the Device Solutions (DS) Division and KRW 1.1 trillion in Samsung Display Corporation (SDC). The cumulative total for the January-September period is KRW 56.9 trillion, up KRW 24.7 trillion YoY, with KRW 52.8 trillion allocated to the DS Division and KRW 2.4 trillion to SDC.
The full-year capital expenditure for 2026 is expected at approximately KRW 84.4 trillion, including KRW 76.8 trillion allocated to the DS Division and KRW 3.9 trillion to SDC.
