A rendered image of Samsung SDI's exhibition booth for the InterBattery 2026 trade show in Seoul / Courtesy of Samsung SDI

Samsung SDI on Tuesday reported a first-quarter operating loss of 155.6 billion won ($115.3 million) and revenue of 3.58 trillion won, as it sharply narrowed losses and returned to net profit.

The company said revenue rose 12.6 percent year-on-year, while operating loss contracted 64.2 percent. Net profit came to 56.1 billion won, marking a return to profitability.

By segment, the battery business generated 3.35 trillion won in revenue and posted an operating loss of 176.6 billion won, while the electronic materials business recorded 222 billion won in revenue and an operating profit of 21 billion won.

Samsung SDI said battery performance improved as demand recovered across key applications, including energy storage systems (ESS), uninterruptible power supply, battery backup units (BBU) and power tools. Revenue rose 12.5 percent year-on-year, while losses narrowed by more than 61 percent.

The improvement was driven in part by increased Advanced Manufacturing Production Credit benefits, supported by expanded U.S.-based ESS battery production and sales, as well as higher shipments of high-value cylindrical batteries.

The electronic materials business also posted solid results, backed by stable demand for semiconductor materials and a rebound in display materials sales driven by stronger shipments of flagship smartphones from major customers.

During the quarter, Samsung SDI cited expanded ESS orders, greater diversification of its EV battery customer and product portfolio, and continued progress in next-generation battery technologies.

In the ESS segment, the company secured new prismatic lithium iron phosphate battery projects and signed supply agreements for high-power BBU batteries. It also established a materials supply chain in response to the United States’ Prohibited Foreign Entity regulations, laying the groundwork for future growth.

In the electric vehicle (EV) battery business, Samsung SDI signed a multiyear supply agreement with Mercedes-Benz, securing all three major German premium automakers as customers. It also diversified its portfolio by winning a project to supply tabless cylindrical batteries for hybrid EVs.

Source: Korea Times News