Samsung SDI posts record earnings in 2022 on robust EV demand

Samsung SDI posts record earnings in 2022 on robust EV demand [Image source: Samsung SDI]

Samsung SDI Co., South Korea’s third-biggest maker of electric-vehicle batteries, said Monday it posted record earnings last year despite concerns of slowing demand for EVs and economic uncertainties.

Operating income reached a record 1.8 trillion won ($1.46 billion) last year, up 69.4 percent from a year earlier, and revenue also came to a record 20.12 trillion won, up 48.5 percent, the company said in a regulatory filing.

In the October-December period last year, operating profit was 490.8 billion won, up 84.7 percent, with sales up 56.3 percent on year to 5.96 trillion won.

The company’s energy segment, which includes battery and energy storage system products, generated 5.34 trillion won in sales in the fourth quarter, up 71.9 percent from a year ago. Operating income nearly tripled to 359.1 billion won.

Sales increased in mid- and large-sized batteries, primarily its flagship premium generation 5 products, despite concerns about slowing demand.

Small-sized batteries for the fourth quarter recorded sales at a similar level to the previous quarter. For cylindrical batteries, demand for power tools slowed, but the impact was minimized due to long-term supply contracts with major customers, and increased EV sales helped the company boost overall earnings.

Sales in the electronic materials business reached 624.3 billion won, down by 11.9 percent on year but up 16.9 percent on quarter. Operating income was 131.7 billion, down 9.5 percent from a year ago but up 62.4 percent from the previous quarter.