Samsung Surprised with Its Revenues
Samsung broke a record in the first quarter data of 2026. It has been announced that conventional DRAM is more profitable than HBM. Detailed financial analysis is in our news.
Samsung broke a record in its financial performance in the first quarter of 2026, due to the strong winds created by artificial intelligence-driven demand. In the first quarter results of 2026, the company increased its total operating profit by 756 percent compared to the same period last year, greatly exceeding market expectations.
The 48-fold increase in operational profits, especially in the semiconductor division, proves how effectively Samsung meets the global demand for memory products. The fact that conventional DRAM technology provides higher profitability compared to high bandwidth memory (HBM) solutions in this period stands out as an interesting reflection of the balances in the sector.
- Samsung achieved a record operating profit of 57.23 trillion won in the first quarter of 2026.
- The semiconductor unit posted an operating profit of 53.7 trillion won, up 48.8 times year-on-year.
- Conventional DRAM products offer higher profitability than HBM products due to annual price contracts.
- The Galaxy S26 series helped the mobile division maintain profitability with its successful sales performance despite cost pressures.
Financial Data Reached Record Levels
According to data released by the company, total sales revenue reached 133.9 trillion won, easily exceeding the expectation of 117.49 trillion won. Revenue from memory products increased by 292 percent compared to the same quarter last year, reaching 74.8 trillion won.
This massive growth is considered an indication of Samsung’s ability to optimize production capacity.
The semiconductor unit’s operational profit increased from 1.1 trillion won last year to 53.7 trillion won this year, performing a financial miracle.
Conventional DRAM Gains Ahead in Profitability
Samsung officials made remarkable statements about HBM and conventional DRAM strategies during the conference call.
Currently, conventional DRAM products have higher profitability rates than HBM. The main reason for this is that conventional DRAM prices can be updated quarterly according to market conditions, while HBM prices are fixed with annual contracts.
Industry analysts state that LPDDR5 contract prices have tripled since the beginning of 2025 and they expect double-digit growth in 2027.
Samsung aims to maximize its profitability by using this price advantage.
Mobile Unit Survived Despite Challenging Conditions
The Mobile (MX) division achieved sales of 37.5 trillion won despite rising component costs and tight competition. The launch of the Galaxy S26 series allowed the division to achieve a positive, albeit low, profit margin by eliminating the risk of operational losses. The company plans to establish an early market leadership in PCIe Gen6 eSSD technologies in the coming period.
What do you think about Samsung making more profits from conventional DRAM products instead of HBM? What kind of change do you think this pricing strategy in memory technology will lead to in the industry? Share your opinions with us in the comments section.
