Samsung Electronics (005930.KS) said on Wednesday it will begin restructuring its Device eXperience (DX) division, which handles mobile, home appliances and TV businesses.
"Although a decline in profit is inevitable for the DX division due to rising costs, we will improve our product mix through sales of the Galaxy S26 and the launch of premium lineups such as Micro RGB (red, green, blue) TVs and the AI Combo," Samsung said during an earnings conference call that day.
"We will push for fundamental improvements to our business structure through cost reductions, structural efficiency, and strengthening mid- to long-term organizational competitiveness," the company said. "We will also focus on securing future growth engines through M&A."
Samsung Electronics reported first-quarter operating profit of 3 trillion won ($2.1 billion) for the DX division, down 36% from 4.7 trillion won a year earlier. The Mobile eXperience (MX) and Networks (MW) business, which handles smartphones, fell 35% to 2.8 trillion won, while the Visual Display (VD) and Digital Appliances (DA) business, which handles home appliances, also declined 33% from a year earlier to 200 billion won.
According to industry sources, Samsung Electronics plans to withdraw from the Chinese TV and home appliance markets. The company is also pursuing a plan to consolidate its production and sales subsidiaries in China and Southeast Asia.
