Samsung SDI reported a KRW 256.7 billion ($193.8 million) operating loss in Q4 as its key battery segment struggled with weaker demand. The company’s battery division saw revenue drop 28.7% to KRW 3.56 trillion ($2.7 billion) amid inventory corrections from major customers.
While the electric vehicle and power tool battery sales declined, the energy storage system business achieved record quarterly revenue, boosted by growing data center power demands in North America driven by AI adoption.
The company plans to suspend dividend payments for three years starting in 2025 to focus resources on facility investments, citing expectations of negative free cash flow. For 2024, the board approved a final dividend of KRW 1,000 per common share.
Looking ahead, Samsung SDI expects the global EV battery market to grow 21% in 2025, primarily in the U.S. and Europe. The energy storage segment is forecast to expand 14%, led by North American demand.
The battery maker strengthened its U.S. presence in 2024 through joint ventures with Stellantis and General Motors while expanding partnerships with major power producers. It also began supplying its premium prismatic P6 battery and enhanced Samsung Battery Box 1.5.
