SK Hynix beats third-quarter profit forecasts — CNBC

SK Hynix, a South Korean chipmaker, plans to pay $75.4 billion to shareholders after a record Q3 operating profit of 83.3 trillion won, up from 11.4 trillion won a year earlier. The company's revenue grew 328% to 104.6 trillion won. The payout includes 30 trillion won in dividends and 60 trillion won for share buybacks and cancellations.

SK hynix announced a 20 trillion won share buyback plan for the current quarter, with 10 trillion won to be canceled to boost shareholder value. The company stated the buyback size will depend on stock price, market conditions, and cash flow, among other factors.

SK Hynix reported a record operating profit of 8.33 trillion won for Q3, but net profit fell 57.7% from Q2 due to 3.26 trillion won in non-operating expenses, including FX losses and asset valuation declines. Net profit rose 215.7% year-over-year to 3.98 trillion won. The company's cash position improved, with net cash reaching 9.87 trillion won.

SK hynix reported record quarterly revenue of 104.62 trillion won ($75.25 billion) and operating profit of 83.33 trillion won, driven by AI semiconductor demand. The company announced a 100 trillion won shareholder return plan, including dividends and share repurchases. AI memory products, particularly HBM4 and DDR5, were key growth drivers. SK hynix expects strong demand through 2030 and plans to increase capital expenditure.

The Kospi index rose 3.23% to 5,820.18, driven by gains in Samsung Electronics and SK Hynix. SK Hynix reported a 632.1% increase in Q3 operating profit and announced a 100 trillion won shareholder return plan. Samsung Electronics gained 3.15%. Investors cited US chip stock strength and easing Middle East tensions as supportive factors.

SK Hynix reported a record Q3 operating profit, exceeding forecasts. Samsung and SK Hynix plan over $158B in shareholder returns. SK Hynix abandoned Solidigm's Nasdaq IPO due to shareholder concerns. The company expects AI compute needs to rise 20-fold by 2030.