SK Hynix Q3 revenue of KRW 104.6 trillion beats expectations, plans to return about KRW 100 trillion to shareholders

Odaily reports: SK Hynix has released its third-quarter financial results, with revenue of KRW 104.6 trillion, above the market expectation of KRW 98.3 trillion; operating profit of KRW 83.3 trillion, above the expected KRW 76.7 trillion; net profit of KRW 39.5 trillion, below the expected KRW 55.4 trillion. The average selling price of DRAM in the third quarter rose more than 20% quarter-on-quarter.

On shareholder returns, SK Hynix plans to return about KRW 100 trillion to shareholders in 2026, including more than KRW 30 trillion in cash dividends and more than KRW 60 trillion in share buybacks and cancellations. The company has decided to implement a KRW 20 trillion share buyback program, pay a cash dividend of KRW 20,000 per share for the third quarter, with total dividend payouts reaching KRW 14 trillion, part of the gains coming from its investment in Kioxia.

On the business outlook, SK Hynix said HBM4 will become its main product starting in the fourth quarter, and its fourth-quarter shipment volume and revenue share are expected to exceed those of HBM3E. The company has signed long-term supply agreements with 14 major customers, with more than 50% of capacity for 2027 and 2028 already locked in. It expects DRAM market demand to grow more than 20% year-on-year in 2027, and the memory supply shortage may persist until 2030.

In addition, the company expects capital expenditure in 2027 to increase significantly compared with 2026, and noted that continued growth in AI computing demand will further drive up memory demand.