SDI News

Samsung SDI, 3Q21 Earnings Release

Samsung SDI, 3Q21 Earnings Release

Recorded the highest quarterly revenue and operating profit

 
□ [3Q21] Recorded revenue of 3 trillion 439.8 billion won, electronic materials saw a profit increase
- Revenue increased by 11.4%, operating profit increased by 39.7% YoY
- EV maintained profitability, small-sized battery and electronic materials saw a profit increase​

□ [4Q21] Battery business including EV, small-sized battery is expected to see growth
    
  
3Q21 Business Highlights

Samsung SDI announced the third-quarter revenue of 3 trillion 439.8 billion won and operating profit of 373.5 billion won. Samsung SDI recorded the highest quarterly revenue and operating profit.

 

Compared to the last year, revenue increased by 352.6 billion won (11.4%), and operating profit increased by 106.1 billion won (39.7%). And compared to the last quarter, revenue increased by 105.5 billion won (3.2%), and operating profit increased by 78.3 billion won (26.5%).

 

Samsung SDI 3Q21 Earnings (Unit: KRW bn)

    
  
3Q 2021 Results
The energy business and other revenue recorded 2 trillion 740.9 billion won, up 15.0% YoY and 1.1% QoQ. Operating profit recorded 201.8 billion won, up 46% YoY and 19.6% QoQ.

Large-sized battery maintained profitability compared to the last quarter, despite weak demand. EV battery also maintained profitability with sales increase of high value-added products, though there was a decrease in demand caused by chip shortage for cars. ESS revenue went down caused by supply schedules for major projects.

Small-sized battery revenue and profitability also went up. Cylindrical battery revenue increased from mobility such as EV, E-bikes, and pouch battery saw an increase in profitability thanks to sales increase from new smartphones and wearable devices to major customers.

Electronics materials revenue stood at 698.9 billion won, down 0.7% YoY, but up 12.3% QoQ. Operating profit recorded 171.7 billion won, up 32.9% YoY, and 35.7% QoQ. 

Electronic materials saw increased profitability with high revenue of high value-added products compared to the last quarter. Semiconductor materials recorded a growth from high value-added products such as SOH, and OLED materials revenue went up for flagship smartphones, and polarizer increased sales for large LCD TV.
  
  
4Q 2021 Outlook

The large-sized battery division is expected to see more growth from new and high value-added products. Although we expect the chip shortage issue continues, EV battery will expand sales with the supply expansion of Gen.5, and ESS battery will see improved profitability thanks to sales increase of UPS and residential use ESS.

For small-sized battery, we expect sales increase for cylindrical battery. Cylindrical battery sales will go up for major applications such as EV, power tools, and pouch battery sales will go up for new smartphones to overseas customers.

Electronic materials business is expected to see sales increase for semiconductor and OLED materials. Semiconductor materials sales will slightly go up, and OLED materials sales will also go up as more materials are used for smartphones. However, polarizer sales are expected to go down due to seasonality.