Samsung Electronics prepares to start earnings season with strong Q4 results, indicating growth driven by artificial intelligence

Samsung Electronics is set to lead the charge in the technology sector’s upcoming fourth-quarter earnings season, giving an initial indication of the heightened need for memory chips due to the global AI expansion brought about by robust stockpiling activities. As per FnGuide’s aggregation of market forecasts, the South Korean tech behemoth is anticipated to present an operating profit of roughly 15.5 trillion won (equivalent to about $10.7 billion) for the period concluding in December, soaring above the 6.49 trillion won (approximately $4.5 billion) reported in the same quarter a year earlier. This significant surge mirrors the escalating prices of memory products driven by a decrease in supply and a surge in data-center investments.

Prices of both DRAM and NAND have experienced a broad upturn, encompassing chips targeting the masses as well as customized high-performance options. TrendForce, a reputable market observer, has indicated that DRAM prices enjoyed a rise of 13-18 percent during the October-December span, while NAND flash prices saw an increase of 5-10 percent, a trend propped up by an uptick in server demand and a restrained supply.

Samsung will divulge a meticulous breakdown by business segment later in January when it releases its full earnings report. For the entirety of 2025, brokerage projections collated in recent periods envision Samsung’s operating profit to hover around 39.15 trillion won, marking a growth of approximately 20 percent from an estimated 32.7 trillion won in 2024.

In this context, Jun Young-hyun, the head of Samsung’s Device Solutions (DS) arm, has called on the company’s workforce to fortify its “technology fundamentals” within the realms of memory, logic, and advanced packaging. He has emphasized the corporation’s intent to leverage its integrated structure fully to cater to the escalating demand for AI while deepening relationships with key clients.

Looking forward, analysts anticipate Samsung Electronics’ operating profit to scale upwards to around 85.4 trillion won in 2026, with some optimistic forecasts projecting figures surpassing 100 trillion won on the proviso of stable memory prices and sustained investments in AI servers. Revenue from the foundry segment is predicted to grow at a more moderate pace as Samsung initiates the rollout of its 2-nanometer-class gate-all-around (GAA) processes, although competition with Taiwan Semiconductor Manufacturing Co. remains a primary hurdle.