Samsung Electronics Reports Strong 2024 Performance, Focuses on AI and Advanced Technologies for Future Growth

Samsung's Financial Performance in 2024

Samsung Electronics has reported strong financial results for the fourth quarter and fiscal year 2024, showcasing the company's resilience and strategic focus on advanced technologies. For Q4 2024, Samsung posted consolidated revenue of KRW 75.8 trillion (approximately USD 52.09 billion) and an operating profit of KRW 6.5 trillion (USD 4.46 billion) 1

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The full-year performance was particularly impressive, with annual revenue reaching KRW 300.9 trillion (USD 206.82 billion), marking a 16.22% year-over-year increase and the second-highest on record, surpassed only in 2022 2

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. The operating profit for 2024 stood at KRW 32.7 trillion (USD 22.47 billion), representing a substantial 395.45% year-over-year growth 2

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Semiconductor Business Performance

Samsung's Device Solutions (DS) Division, which includes the semiconductor business, faced challenges in Q4 2024. The Memory Business achieved record-high fourth-quarter revenue, driven by increased sales of high-bandwidth memory (HBM) and high-density DDR5 for servers 1

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. However, operating profit decreased slightly due to increased R&D expenses and initial ramp-up costs for cutting-edge nodes 1

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The Foundry Business experienced a decline in overall profit due to lower utilization rates and higher R&D expenses for advanced-node technology 1

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. Despite these challenges, Samsung is actively developing its 2nm GAA technology and mass-producing HPC products using the 4nm process 1

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Mobile and Network Business

The Mobile eXperience (MX) and Networks businesses posted KRW 25.8 trillion in consolidated revenue for Q4 2024, showing a 3.2% year-over-year increase but a 15.4% quarter-on-quarter decrease 2

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. The division's operating profit was KRW 6.5 trillion, up 132.14% year-over-year but down 29.34% quarter-on-quarter 2

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Strategic Focus on AI and Advanced Technologies

Looking ahead to 2025, Samsung is placing a strong emphasis on artificial intelligence (AI) and advanced technologies to drive growth and maintain market leadership. Key strategic initiatives include:

1. Enhancing AI capabilities in smartphones, with plans to provide more personalized and differentiated AI experiences 2

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2. Strengthening the foldable smartphone lineup to generate new customer demand 2

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3. Expanding the application of advanced AI features across the Galaxy ecosystem, including premium tablets, notebooks, wearables, and an upcoming XR device 2

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4. Focusing on securing technology leadership in semiconductors for mid- to long-term growth 1

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5. Accelerating the migration to cutting-edge nodes in memory production to meet the demand for high-performance and high-density products 1

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Outlook for 2025

Samsung anticipates that the overall memory market demand will recover from the second quarter of 2025 1

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. The company plans to optimize its product portfolio by increasing the proportion of high value-added products such as HBM, DDR5, LPDDR5x, GDDR7, and server SSDs based on advanced process nodes 1

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In the foundry business, Samsung will concentrate on advancing leading-edge process development and enhancing process maturity to expand opportunities in AI and HPC applications 1

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. The company aims to secure orders from major customers by ramping up and stabilizing the 2nm GAA technology while bolstering the 4nm technology and design infrastructure 1

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