“Samsung Electronics reported a marginal 0.1% dip in Q2 2025 revenue at 74 trillion won, with steady smartphone sales offsetting semiconductor challenges. Operating profit fell 56% to 4.6 trillion won due to weak AI chip demand and U.S. export curbs. The Galaxy S24 series and AI-enabled devices drove mobile growth, while new launches are expected to boost future quarters.”
Samsung Q2 2025: Smartphone Strength Amid Semiconductor Slump
Revenue Overview: Samsung Electronics posted an estimated Q2 2025 revenue of 74 trillion won (approx. $53.6 billion), a slight 0.1% decline from 74.07 trillion won in Q2 2024, showcasing resilience despite global economic pressures.
Smartphone Sales Performance: The Mobile eXperience (MX) division, encompassing smartphones and wearables, sustained growth with a 5% rise in smartphone revenue to 114.4 trillion won for 2024, driven by flagship Galaxy S24 series and AI-enabled devices. Q2 saw steady demand, particularly for premium models, despite a seasonally weak premium segment.
Semiconductor Challenges: The Device Solutions (DS) division faced headwinds, with operating profit dropping 56% year-on-year to 4.6 trillion won. Weak demand for high-bandwidth memory (HBM) chips, delays in supplies to Nvidia, and U.S. export restrictions on advanced chips to China impacted growth. Competitors like SK Hynix and Micron outperformed in AI chip markets.
Market Share and Shipments: Samsung retained its position as the global smartphone shipment leader with a 19% share in Q1 2025, shipping 60.5 million units. However, Q2 2024 shipments were 53.5 million units, reflecting a 1% increase year-on-year but a sequential decline due to seasonal trends.
AI Integration and Future Outlook: The Galaxy S24 series’ AI features, like Galaxy AI, bolstered premium sales. Samsung plans to launch the Galaxy S25 Edge in Q2 2025, expanding AI capabilities to mid-tier Galaxy A series. Analysts expect recovery in HBM chip sales and new smartphone launches to drive growth in H2 2025.
Other Business Segments: The Visual Display and Digital Appliances units reported flat sales at 56.5 trillion won for 2024, while Samsung Display Corporation (SDC) saw a 6% revenue drop to 29.2 trillion won due to softer mobile display demand. Harman’s audio and automotive arm contributed 14.3 trillion won.
Financial Context: For 2024, Samsung achieved a record annual revenue of 300.9 trillion won ($218.9 billion), up 16% from 2023, with the MX division contributing 25.8 trillion won in Q4 alone. However, Q2 2025’s profit decline highlights reliance on diversified portfolios to counter semiconductor volatility.
Disclaimer: This article is based on recent reports, financial data, and industry analyses from sources like Reuters, TelecomLead, and Samsung’s official newsroom. Information is subject to change as Samsung releases its final Q2 2025 earnings. Always verify with official statements for investment or business decisions.
