Off-Season Yet Strong Galaxy S25 and Fold 7 Sales... Samsung Electronics' MX Operating Profit Up 22% Last Year

MX Division Sales Up 11% Last Year
Flagship Devices Drive Growth Despite Off-Season
Galaxy S26 to Boost Sales with AI Smartphone Strategy

The Mobile eXperience (MX) Division of Samsung Electronics recorded a double-digit operating margin last year, driven by the robust sales performance of flagship smartphones such as the Galaxy S25 series and the Z Fold and Flip 7 series.

On January 29, Samsung Electronics announced that the combined operating profit of its MX Division and Network Division reached 12.9 trillion won last year, according to preliminary figures. This represents a 22% increase from the previous year and accounts for approximately 30% of Samsung Electronics' total operating profit. The combined revenue of the two divisions totaled 129.5 trillion won, up 10% year-on-year. Specifically, the MX Division, which handles Galaxy smartphones and Galaxy Book PCs, posted revenue of 114.4 trillion won, an 11% increase.

On a quarterly basis, the MX and Network Divisions recorded sales of 29.3 trillion won in the fourth quarter of last year, up 13%. However, operating profit for the same period decreased by 200 billion won to 1.9 trillion won. The fourth quarter is typically considered an off-season for Samsung Electronics, as there are no new smartphone launches during this period.

The improvement in annual profitability was largely attributed to flagship smartphone products such as the Galaxy S25 series and the Z Fold and Flip 7. The Galaxy S25 series, launched in February last year, set a new record by selling 3 million units domestically in just over six months, achieving the fastest sales among all S series 5G phones to date. The Galaxy Z Fold and Flip 7 also set a new record for the highest number of pre-orders for the Galaxy foldable series, with 1.04 million units sold during the domestic pre-sale period.

Samsung Electronics is preparing to launch its new flagship smartphone, the Galaxy S26 series, at the end of next month. The Galaxy S26 is also expected to prominently feature artificial intelligence (AI) capabilities.

Samsung Electronics stated, "With the launch of the Galaxy S26, we plan to expand sales centered on flagship products and solidify our leadership in the AI smartphone market based on the agentic AI experience." Regarding this year's annual outlook, the company emphasized, "We will maintain our leadership in the AI smartphone market through next-generation AI experiences and slimmer, lighter form factors, and drive growth across all product categories and new market development based on product competitiveness."