Samsung SDI swings to $255m Q3 profit but misses forecasts

Samsung SDI, a leading battery manufacturer, returned to profitability in the third quarter of 2026, buoyed by robust demand for energy storage system (ESS) batteries and burgeoning sales of batteries for artificial intelligence (AI) data centers. The company reported an operating profit of 407.8 billion won ($285 million) for Q3 2026, a stark contrast to a loss of 591.3 billion won in the same period last year.

This marked a nearly twofold increase from the 203.8 billion won profit in the previous quarter, marking the company's highest quarterly operating profit since Q3 2023, when it recorded 496 billion won in profit.

Revenue for the quarter surged by 52.6 percent year-on-year, reaching 4.69 trillion won from 3.07 trillion won in the previous year. This growth was also a 20.9 percent increase from the prior quarter. The battery segment generated 4.41 trillion won in revenue, reflecting a 55.3 percent year-over-year increase. Operating profit for the battery business amounted to 361.9 billion won.

The surge in profit can be attributed to the escalating demand for ESS and battery backup units (BBU) as the global AI data center market expands. Additionally, increased sales of cylindrical batteries for power tools and electric vehicles significantly contributed to the company's financial success.