"Three Years' Worth of Supply Already Sold Out" Sparks Excitement… "Concerns Over AI Cleared"

[Anchor]

SK Hynix shares surged after announcing a shareholder return package totaling 100 trillion won, alongside the revelation that its production volume for the next three years is already completely sold out.

Reporter Hong Yeongjae explains the details of SK Hynix's earnings report.

[Reporter]

SK Hynix's third-quarter earnings were released at 9:00 AM right as the stock market opened.

Third-quarter revenue reached 104.6155 trillion won, and operating profit stood at 83.3338 trillion won, both increasing by over 30 percent compared to the second quarter.

Following this news, shares climbed even higher during the earnings presentation when it was added that the next three years' worth of supply had already been completely sold out.

[Park Jun-deok / Head of DRAM Marketing, SK Hynix (from conference call): "For the next three years, our company's DRAM and HBM supply is virtually all sold out."]

Evaluated as erasing concerns that AI investments might be faltering, a buy-sidecar was even triggered 10 minutes after this remark.

[Ahn Ki-hyun / Executive Vice President, Korea Semiconductor Industry Association: "If you look at the investment plans of big tech companies, they have announced plans to keep increasing investments even more than now. Therefore, if everything goes according to current projections, we can expect this (semiconductor) price to be maintained for the time being."]

Added to this was a total 100 trillion won shareholder return package, the largest in the history of the domestic stock market.

Following the 40 trillion won share buyback and cancellation announced last August, the company announced it will return an additional 60 trillion won to shareholders.

The third-quarter cash dividend was set at a total of 20,000 won per share, combining 10,000 won reflecting earnings and an additional 10,000 won from special gains from selling a stake in Japanese semiconductor firm Kioxia, amounting to a total of 14 trillion won in dividends.

Investors who purchase and hold SK Hynix shares by November 26 will be eligible to receive the dividend.

At the same time, the company plans to purchase and retire over 30 trillion won worth of treasury shares.

[Kim Woo-hyun / CFO, SK Hynix (from conference call): "We will continuously proceed with share buybacks and retirements so that per-share value can properly reflect our intrinsic value."]

Now, market attention is focused on how well Samsung Electronics can meet the heightened expectations of shareholders set by SK Hynix.

(Video Editing: Kim Jong-mi, Design: Kim Yeji)
※ Please note: This article was translated by AI and may contain errors.