Revenue rises 18.5% YoY to KRW 3.77 trillion, with operating profit turning positive after seven quarters and first-half earnings achieving a turnaround ahead of schedule
Expects earnings momentum to continue in the second half, supported by U.S. prismatic LFP battery production, AI-driven UPS/BBU demand, EV project expansion, and growing sales of semiconductor and display materials
SAMSUNG SDI reported today the financial results for the second quarter of 2026.
The company posted revenue of KRW 3.77 trillion ($2.59 billion) and operating profit of KRW 203.8 billion in the second quarter.
Revenue increased 18.5% (KRW 589.4 billion) from a year earlier and 5.4% (KRW 192.4 billion) from the previous quarter. Operating profit turned positive for the first time in seven quarters since the third quarter of 2024.
With cumulative operating profit reaching KRW 48.2 billion in the first half, SAMSUNG SDI returned to profitability sooner than expected, delivering on its commitment to achieve a turnaround this year.
Net profit for the second quarter totaled KRW 471.6 billion, up 740.5% from the previous quarter and turning profitable year-on-year.
In the Battery Business, revenue increased 18.8% year-on-year to KRW 3.52 trillion, while operating profit reached KRW 159.3 billion, marking a return to surplus.
Revenue grew both year-on-year and quarter-on-quarter, driven by increased sales of high-power batteries for uninterruptible power supply (UPS) systems, battery backup units (BBUs), power tools, and electric vehicles in Europe.
Profitability improved significantly, supported by higher sales of high-value products, AMPC benefits from increased local production in the United States, and impact of U.S. tariff refunds.
In the Electronic Materials Business, revenue rose 14.5% year-on-year to KRW 249.8 billion, while operating profit increased 34.8% to KRW 44.5 billion.
Sales of semiconductor materials remained solid, while revenue and profitability both improved, led by film materials for foldable smartphones.
Business Highlights for First Half 2026
SAMSUNG SDI's earnings recovery in the first half of 2026 was driven by strong demand from AI data center applications, particularly for high-power products used in utility-scale ESS, UPS and BBU systems.
Leveraging its differentiated prismatic battery technology and local manufacturing capabilities, the company secured long-term supply agreements with major ESS customers in the United States. SAMSUNG SDI also won key orders for next-generation distribution-grid ESS projects in Korea, further strengthening its position in the ESS market.
SAMSUNG SDI expanded its customer base by winning a new project with Mercedes-Benz, adding the automaker alongside BMW and Audi and completing its portfolio of Germany's top three premium automotive brands. The company also won the industry's first cylindrical battery project for hybrid electric vehicles.
In addition, expanded sales of high‑power batteries for power tools and the launch of a new prismatic EV battery featuring industry‑highest energy density contributed to higher utilization rates across the business.
SAMSUNG SDI also continued to build future growth drivers by expanding partnerships with key customers in emerging sectors such as humanoid robotics and aerospace, while diversifying its customer base for next-generation semiconductor packaging materials.
Business Outlook for the Second Half 2026
SAMSUNG SDI expects its earnings recovery to continue in the second half this year and plans to further strengthen its competitiveness to achieve sustainable growth beyond the current turnaround.
For ESS batteries, SAMSUNG SDI will continue to strengthen its local supply chain in the United States and stay on track with preparations for mass production of prismatic LFP batteries, supported by rapidly growing demand for utility-scale ESS and UPS systems driven by the expansion of renewable energy and rising investment in AI data centers.
The company also plans to actively participate in a wide range of Korean projects by leveraging its strong domestic supply chain and manufacturing footprint. In addition, it plans to expand production capacity to meet growing demand for UPS applications.
SAMSUNG SDI is also advancing the development of sodium-ion battery for AI data center UPS and utility-scale ESS applications by leveraging its proprietary technologies. With sodium-ion batteries expected to offer significant long-term growth potential, supported by their long lifespan, high power capability, and safety advantages, the company plans to further advance its commercialization and mass production roadmap.
For EV batteries, SAMSUNG SDI expects demand in Europe to increase, supported by expanded incentive programs and elevated fuel prices, despite continued softness in the U.S. market. The company plans to expand supply for mass-market models while pursuing a broad range of new business opportunities, including LFP battery projects.
In the small battery business, the company plans to expand production capacity for high-power cylindrical batteries to address growing demand from BBU and power tool applications, as well as emerging opportunities in humanoid robotics and aerospace.
In electronic materials, demand for semiconductor and display materials is expected to remain strong. The company plans to expand sales of next-generation semiconductor packaging materials and high-value film materials for displays.
“While SAMSUNG SDI initially anticipated a turnaround in the second half of the year, stronger-than-expected revenue growth and improved profitability across the business units enabled the company to return to profitability earlier than expected,” said a SAMSUNG SDI official. “We will continue to pursue sustainable growth while strengthening profitability.”
