Samsung SDS on Wednesday announced preliminary first-quarter revenue of 3.35 trillion won and operating profit of 78.3 billion won. Revenue fell 3.9 percent from a year earlier. Operating profit fell 70.8 percent after it reflected a 112.0 billion won retirement benefit cost provision at once following a change in the severance pay calculation standard.

By business, the IT services segment posted revenue of 1.61 trillion won, up slightly from a year earlier. Cloud business revenue rose 5.8 percent to 690.9 billion won from the same period last year, surpassing ITO business revenue and taking the largest share within the IT services segment.

Within the cloud business, the CSP business based on the Samsung Cloud Platform (SCP) grew 12 percent from a year earlier, supported by an increase in GPUaaS (GPU as a Service) as demand for AX in the public sector expanded and by expansion of cloud network services. The MSP business grew 4 percent from a year earlier due to higher revenue in finance and the public sector and expanded cooperation with global partners.

In logistics, revenue from Cello Square rose more than 30 percent, but segment revenue fell 7.8 percent from a year earlier to 1.74 trillion won due to lower cargo volume and falling freight rates.

Samsung SDS forecast results would improve in the second quarter as its cloud business expands, citing an increase in public-sector GPUaaS, rising revenue in finance and the spread of intelligent AI services for government-wide customers.

Samsung SDS plans to invest 10 trillion won by 2031 based on 1.2 trillion won in new funds secured through cooperation with global investment firm KKR for strategic mergers and acquisitions and other purposes, as well as 6.6 trillion won in cash and cash equivalents. It is pursuing an AI full-stack strategy spanning AI infrastructure, AX and AI services, and AI platforms and solutions.

It plans to invest 5 trillion won in AI infrastructure for the Gumi AI data center, the national AI computing center and new AI data centers based on market demand. It will invest 1 trillion won to strengthen competitiveness in AX and AI services and AI platforms and solutions. It also plans to invest 4 trillion won to actively pursue strategic M&A to secure new growth engines and expand global footholds.

Samsung SDS said its data center DBO (Design·Build·Operate) business, which it said in January it would newly 추진 in its 2025 earnings announcement, is currently under way after it won a contract for conceptual design for a data center project being developed by a major domestic asset manager.