Samsung Electronics Co., Ltd.

Record financial performance (good) + very strong profitability - Q2’26 revenue: KRW 171.5T, +28% QoQ - Operating profit: KRW 89.5T, +56% QoQ; operating margin: 52% (vs 43% prior quarter) - Net profit: KRW 71.6T, +52% QoQ - EPS (common & preferred): KRW 10,849 (+52% QoQ) - R&D up sharply: KRW 16T (new quarterly high; up from KRW 11T) - FX tailwind: stronger USD vs KRW contributed ~KRW 3.1T to operating profit QoQ

Shareholder returns: dividend confirmed; future policy still being discussed (dividends; mixed—clear now, unclear later) - Board approved Q2 dividend: KRW 374 per common & preferred share (scheduled paid in August) - Under the 2024–2026 3-year shareholder return policy: committed regular annual dividend KRW 9.8T, paid quarterly (KRW 2.45T/quarter) - Management says it remains committed to executing the current policy; detailed implementation incl. a “special dividend” being actively discussed - For the next policy (post-2026): company is working toward an “optimal equilibrium” between reinvestment and long-term value, but details not yet disclosed - Risk/technicality: bonus accrual timing & memory LTA customer prepayments can affect free cash flow optics (FCF accounting complexity)

Semiconductor outlook: AI-driven demand supports DS growth, but cost pressure + tight supply remain key constraints (good with clear risks) - Company expects second-half growth momentum to continue, supported by sustained semiconductor demand and agentic AI spread - DS profitability focus: despite new product launches and continued demand strength, they expect macro uncertainty + component/material cost pressures to persist, so DS will defend profitability - Memory: continued record performance; management highlights that AI-driven demand is extremely strong and supply is structurally constrained