Samsung Q2 2025: Profits down 54.8% YoY due to weak AI chip sales

Samsung has reported its earnings for Q2 2025 that ended June 30, 2025 in which the company posted 74.6 trillion won (USD 53.59 billion approx.) consolidated revenue, down 5.8% YoY, and down 5.68% QoQ.

It made an operating profit of 4.7 trillion won (USD 3.37 billion), down 54.80% YoY, and down 29.85% QoQ, due to weak chip sales.

Samsung said that Foundry Business remained weak due to the impact of inventory value adjustments that stemmed from US export restrictions on advanced AI chips to China, despite significant growth in revenue from the first quarter.

Samsung MX (Mobile eXperience) in Q2 2025

The MX and Networks businesses posted 37 trillion won (USD 26.57 billion approx.) in consolidated revenue, up 6.56% YoY, but down 21% QoQ.  The division posted 3.1 trillion won in operating profit, up 40.90% YoY, but down 27.90% QoQ.

Smartphone shipments were less compared to Q1, when new models were released, but both revenue and operating profit grew YoY through robust sales of the Galaxy S25 series, Galaxy A series and Galaxy tablets, said Samsung.

Samsung MX Q3 2025 and H2 2025 expectations

For the next quarter and for later this year, Samsung plans to continue a flagship-first approach for smartphone sales focusing on foldables and the Galaxy S25 series — while emphasizing the AI functionality of the Galaxy A series — to increase market share.

It will also reinforce the AI capabilities of tablets and wearables and expand the Galaxy ecosystem with the launch of products with new form-factors, including extended reality (XR) and TriFold devices, and contribute to maintaining solid profitability despite market uncertainties and rising bill of materials (BOM) costs.

Samsung DS (Semiconductors) in Q2 2025 and H2 2025 expectations

The DS Division posted KRW 27.9 trillion in consolidated revenue, down 2% YoY, but up 11% QoQ and KRW 0.4 trillion in operating profit, down 93.84% YoY and down 63.63% QoQ for the second quarter.

Samsung said that it proactively addressed server demand by expanding HBM3E sales, as well as portion of high-density DDR5 products. NAND inventory reduced significantly via server SSD sales expansion as a result of the prompt resumption of delayed datacenter projects Earnings impacted by one-off costs such as inventory value adjustments, etc.

In H2 2025, it will actively respond to higher density trend with HBM, LPDDR5x for server, etc. Expand sales of industry-leading 128GB DDR5 and 24Gb GDDR7 for AI server. It also plans to increase high-density & high-performance SSD while accelerating the transition to 8th Generation V-NAND across all applications.


Srivatsan Sridhar: Srivatsan Sridhar is a Mobile Technology Enthusiast who is passionate about Mobile phones and Mobile apps. He uses the phones he reviews as his main phone. You can follow him on Twitter and Instagram
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