Samsung Electro-Mechanics (009150) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached KRW 3,457.2 billion, up 8% quarter-over-quarter and 24% year-over-year, with strong growth across all business segments.

• Operating profit was KRW 440.4 billion, a 57% increase quarter-over-quarter and 107% year-over-year, reflecting improved margins and operational efficiency.

• Net profit for Q2 was KRW 315.7 billion, up 143% year-over-year and 27% sequentially.

• Growth was driven by strong demand in AI, data centers, automotive, and high-end product segments.

• The company maintained a robust financial position, with total assets of KRW 16.57 trillion and an equity ratio of 63.6%.

Financial highlights

• Q2 2026 sales reached KRW 3,457.2 billion, up from KRW 2,784.6 billion in Q2 2025.

• Gross profit margin improved to 24.4% from 20.3% year-over-year.

• Operating profit margin improved to 12.7% from 7.6% year-over-year.

• Cash and cash equivalents increased to KRW 3.31 trillion, up 30% year-over-year.

• Dividend payout for the period was KRW 177.7 billion, with a payout ratio of 25.2%.

Outlook and guidance

• Q3 is expected to see continued strong demand for high-end MLCCs, FCBGA substrates, and camera modules, especially for AI, data center, and automotive applications.

• Supply of high-end products will be expanded, with further capacity increases planned in Korea and overseas.

• ASPs are expected to rise further due to tight supply and higher value product mix.

• Management expects continued demand growth for MLCC, semiconductor substrates, and camera modules, with a focus on high-reliability and high-capacity products.

• Dividend policy aims to maintain a payout ratio above 20%, balancing shareholder returns and future growth investments.