Samsung, SK hynix could deliver record $212 bil. in shareholder returns: reports
With Samsung Electronics and SK hynix expected to unveil new shareholder return plans as early as this month, analysts estimate that the two chipmakers could together return as much as 300 trillion won ($212 billion) to investors. Record second-quarter earnings — 89.5 trillion won in operating profit at Samsung and 60.5 trillion won at SK hynix — have strengthened their ability to reward…
Samsung Electronics and SK hynix are poised to announce shareholder return plans as early as this month, with analysts projecting that the combined efforts of the two chipmakers could return up to 300 trillion won, or $212 billion, to investors. The record second-quarter earnings, with Samsung generating 89.5 trillion won in operating profit and SK hynix contributing 60.5 trillion won, have bolstered their capacity to reward shareholders.
The potential for substantial payouts has fueled optimism that the two stocks, which together make up more than half of the KOSPI's total market capitalization, could reignite a broader market rally.
Samsung has committed to returning half of its free cash flow under its shareholder return policy for the period between 2024 and 2026. SK hynix, similarly, intends to allocate 50 percent of its free cash flow generated from 2025 to 2027 to shareholders. Based on market estimates, if Samsung utilizes its full potential, it could distribute up to 200 trillion won, while SK hynix might return up to 100 trillion won, according to Kim Dong-won, head of research at KB Securities.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
