Samsung Electronics anticipates record-breaking profits for Q2 2026, primarily driven by its semiconductor business. However, its mobile division may experience its first-ever quarterly loss. An analysis from DealSite South Korea suggests that Samsung MX's earnings could fluctuate between KRW 1.9 trillion ($1.38 billion) in profit and KRW 1.5 trillion ($1.09 billion) in loss, with the most likely outcome being a loss ranging from $364 to $729 million.
This outcome is surprising to some, particularly considering the strong performance of the Galaxy S26 series. However, rising memory chip prices are likely affecting Samsung's profitability, as analysts suggest.
Notably, during the Note7 battery crisis, Samsung's mobile division still reported a modest profit of $73 million.
Current market analysis indicates that the cost of RAM chips for an $800 phone has increased from 14% to 23%, while NAND flash storage now represents 15% of the total production costs of the device.
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