Despite record-breaking pre-orders and strong global sales of the Galaxy Z Fold 8, Samsung’s Mobile eXperience (MX), Visual Display (VD) and Digital Appliances (DA) divisions are forecast to post operating losses through the third and fourth quarters of this year. The primary reason cited is surging manufacturing costs, largely driven by memory chip prices that have spiked around 3x compared to last year’s (2025) average.
Galaxy Z Fold 8 demand and buyer demographics
Data from Counterpoint Research indicates global pre-orders for the Galaxy Z Fold 8 series were 30% higher than for the Galaxy Z Fold 7. The research also reports that buyers in their teens, 20s, and 30s—groups that have often refrained from buying Samsung phones—have been among purchasers of the new foldables.
Rising memory prices pressure MX, VD and DA divisions
The report states that MX, VD and DA could post operating losses through Q3 and Q4, with the sharp rise in manufacturing costs placing severe financial pressure across Samsung’s consumer electronics divisions. These cost increases are attributed largely to the surge in memory chip prices compared with the 2025 average.
Home appliances boosted by domestic promotion
Samsung’s home appliance business benefited from a 20% gift certificate refund promotion in South Korea, a move that helped the company reclaim the top spot from Chinese competitors in the robot vacuum cleaner market.
Despite strong Galaxy Z Fold 8 sales and the appliance promotion, the report says the divisions could still post operating losses through the third and fourth quarters of the year.
