SK Hynix

Nomura Adjusts SK Hynix's Price Target to KRW2,340,000 from KRW1,930,000, Keeps at Buy

SK Hynix Posts 398% Surge in Q1 Profit as Revenue Breaches 50-Trillion-Won Mark

SK hynix's (KRX:000660) attributable profit surged 398% to 40.3 trillion won in the first quarter from 8.107 trillion won in the year-ago period, according to a Thursday filing with the Korea Exchange.The chipmaker's revenue soared 198% to 52.6 trillion won from 17.6 trillion won in the prior-year period.The world's third-largest chipmaker by sales saw its top line breach the 50-trillion-won mark for the first time on a quarterly basis, it said in a Thursday press release.Operating profit grew 405% to a record-high 37.6 trillion won from 7.441 trillion won in the prior-year period.The chip manufacturer's operating margin widened to 72% during the period from 42% a year earlier.Strong demand persisted during the first quarter of 2026 due to expanded artificial intelligence infrastructure investments, the company said in its news release.SK Hynix also attributed growth in the quarter to higher sales of its high-bandwidth memory, high-capacity server dynamic random access memory (DRAM) modules, and enterprise solid state drives (eSSDs).Cash and cash equivalents grew by 19.4 trillion won to 54.3 trillion won, while interest-bearing debt slipped by 2.9 trillion won quarter-on-quarter to 19.3 trillion won.SK Hynix plans to roll out new products in the DRAM and NAND flash segments to address diversifying memory demand, it said."SK hynix also predicted that the spread of memory efficiency technologies will enhance the economic viability of AI services, leading to an expansion of the overall service scale and further drive memory demand," the company said in its earnings release.The chipmaker plans to expand its capital expenditure "significantly" in 2026, and while it could create "too much" future production, the company could add little manufacturing capacity until the middle of 2027, Barron's said Thursday.

Tech Rally, US-Iran's Ceasefire Extension Push Kospi to New High

South Korean shares closed at a new high on Thursday, just shying away from touching the 6,500 level, as investor optimism rose after the US and Iran extended their ceasefire indefinitely. In addition, SK Hynix's (KRX:000660) stellar first-quarter earnings also buoyed sentiment.The Korea Composite Stock Price Index or Kospi rose 57.88 points, or 0.9%, to end at 6,475.81. The Kosdaq, however, decreased by 6.81 points, or 0.6%, to close at 1,174.31.Technology stocks such as Samsung Electronics (KRX:005930) and LG Corporation (KRX:003550) also drove gains, as investors focused on their upcoming first-quarter earnings releases. Shares of Samsung Electronics added over 3% while those of LG Corp. added nearly 2% at market close.In economic news, South Korea's real gross domestic product increased 3.6% in the first quarter of 2026 from the same period last year, following a 1.6% annual expansion in the prior quarter, an advance estimate by the Bank of Korea indicated on Thursday.According to a median forecast of economists polled by Reuters, the country's real GDP was expected to grow 2.7%.On a quarterly basis, the economy grew by 1.7% in Q1, which also surpassed the Reuters estimate of 1%.Meanwhile, gross domestic income increased 12.3% on an on-year basis and 7.5% on an on-quarter basis in Q1In corporate news, Tovis (KOSDAQ:051360) posted first-quarter net income attributable to shareholders of 16.05 billion won, up 77% from 9.07 billion won a year earlier, according to a Thursday filing with the Korea Exchange.The South Korean display models manufacturer's sales jumped 10.4% year over year to 169.8 billion won from 153.8 billion won.Shares of Tovis rose more than 4% at market close.

South Korea's Economy Grows in Q1 Amid Rising Chip Demand

South Korea's first-quarter economy expanded amid the growing popularity of artificial intelligence and global chips.The gross domestic product rose 1.7% from the previous quarter, the Bank of Korea said Thursday, beating Reuters' estimate of a 1% growth.The increase in GDP can be mainly attributed to exports of information technology (IT) products, including semiconductors, which jumped 5.1%. The imports of these items were up 3% due to increases in machinery and equipment and in motor vehicles.Major Korean chipmakers have been making huge profits due to the growing demand for AI. SK Hynix (KRX:000660) recorded a 398% year-on-year surge in its first-quarter net income attributable to shareholders to 40.3 trillion won. The company's sales during the period soared 198% year over year to 52.6 trillion won.Meanwhile, facilities investment climbed 4.8% amid increases in machinery and transportation equipment, the BoK said.Construction investment inched 2.8% higher, while government consumption rose by 0.1%.Min Joo Kang, ING's senior economist for South Korea and Japan, said chip exports are expected to gain momentum over the coming months, offsetting the disruptions caused by the Middle East conflict. Total exports climbed 50% year on year, with chip exports soaring 182%, she said, citing April export data. However, South Korea's economy is still facing risks such as higher inflation caused by oil price hikes and energy disruptions."The Korean government implemented a temporary export ban on Naphtha, and Korean companies increased oil and gas imports from outside the Middle East," Kang said. "Despite these measures, manufacturing activity still cannot be sustained at full capacity."Kang said chip exports may begin to slow down in the second half of the year.Krystal Tan, ANZ's Asia economist, also believes the semiconductor industry could help cushion the shock brought by the war in Iran, but growth may also weaken in the coming quarters as the impact of the conflict starts to sink in and the imbalances between supply and demand remain."Importantly, large-scale new memory manufacturing capacity is only expected to begin materializing from the second half of 2027, suggesting the current cycle still has room to run," Tan said. "Continued strength in semiconductor exports would in turn provide Korea with a degree of insulation from external shocks that many other energy-importing economies lack,"

SK Hynix's Net Attributable Income Jumps 398% in Q1

SK Hynix (KRX:000660) posted first-quarter net income attributable to shareholders of 40.330 trillion won, up 398% from 8.107 trillion won a year earlier, according to a Thursday filing with the Korea Exchange.The South Korean chipmaker's sales jumped 198% year over year to 52.576 trillion won from 17.639 trillion won.Shares of SK Hynix rose nearly 1% in recent trade.

South Korean Shares Open at New High on US-Iran Ceasefire Extension

South Korean shares opened at a fresh high on Thursday, as investor optimism rose after the U.S.-Iran ceasefire was extended indefinitely, while SK Hynix's (KRX:000660) stellar first-quarter earnings buoyed sentiment.The benchmark Korea Composite Stock Price Index, or Kospi, gained 1.1%, or 70.9 points, to open at 6,488.83. The Kosdaq, on the other hand, declined marginally, opening at 1,189.10.Shares of SK Hynix were up nearly 1% in Thursday morning trade after the company posted Q1 net income attributable to shareholders of 40.330 trillion won, up 398% from 8.107 trillion won a year earlier.The South Korean chipmaker's sales jumped 198% year over year to 52.576 trillion won from 17.639 trillion won.

SK Hynix Breaks Ground at New Memory Packaging Facility

SK Hynix (KRX:000660) broke ground at its P&T7 memory packaging facility in Cheongju, South Korea, the semiconductor giant said in a Wednesday press release.The world's third largest semiconductor manufacturer by sales will invest 19 trillion won in the facility, according to a separate disclosure to the Korea Exchange the same day.P&T7 will be dedicated to manufacturing AI memory parts such as high-bandwidth memory, which helps boost data processing speed through vertical connection of multiple dynamic random access memory modules, the company said.The project spans 230,000 square meters within the Cheongju Technopolis Industrial Complex.Total cleanroom area will span 150,000 square meters, with three floors of wafer-level packaging production lines comprising 60,000 square meters and seven floors of wafer test process lines comprising 90,000 square meters.The P&T7 is the fifth facility SK Hynix is building in Cheongju, the company said.SK Hynix plans to complete construction of the wafer test lines by October 2027 and the wafer level packaging facilities by February 2028.Once completed, the P&T7 facility will raise SK Hynix's total production capacity by about 30%, Reuters reported separately the same day.SK Hynix has so far invested 70 trillion won in the memory chip segment, according to Reuters.Semiconductors comprise 70% of company revenue, with NAND flash memory packaging comprising the remainder, the newswire said.

SK hynix to Build KRW19 Trillion Advanced Packaging Facility to Meet AI Memory Demand

SK hynix (KRX:000660) plans to build P&T7, an advanced packaging fab in the Technopolis Industrial Complex in Cheongju to meet global demand for AI memory, the South Korean semiconductor firm said in a Wednesday filing with the Korea Exchange.The company will invest about 19 trillion won for factory construction and production facility setup, the filing said.

South Korean Shares Close Marginally Higher Despite Renewed US-Iran Tensions, Investors Eye Q1 Earnings

South Korean shares closed slightly higher on Monday despite an increase in tensions between the US and Iran after the U.S. Navy destroyer USS Spruance intercepted an Iranian-flagged cargo vessel called Touska near the Strait of Hormuz and Iran issued a warning to the US in the aftermath of the incident.Investors chose to shift their focus on the upcoming first-quarter earnings season instead.The Korea Composite Stock Price Index or Kospi rose 27.17 points, or 0.4%, to end at 6,219.09. The Kosdaq also increased by 4.81 points, or 0.4%, to close at 1,174.85.In corporate news, SK Hynix (KRX:000660) began the mass production of high-capacity 192GB products, which are optimized for Nvidia's Vera Rubin platform, the chipmaker said in a Monday release.The SOCAMM2 192GB (gigabyte) product is a memory module standard that is based on 10-nanometer class 6th generation (1c) LPDDR5X low-power dynamic random access memory.Shares of the chipmaker increased over 3% at market close.In other news, South Korean credit rating firms Korea Ratings, Korea Investors Service, and NICE Investors Service upgraded Hyundai Rotem's (KRX:064350) credit rating to AA- from A+.The upgrades were based on the defense systems manufacturer's strong capability to repay debt, improved earnings, and financial stability.Shares of Hyundai Rotem rose nearly 2% at market close.

SK Hynix Begins Mass Production of High-Capacity 192GB Products; Shares Rise 3%

SK Hynix (KRX:000660) began the mass production of high-capacity 192GB products, which are optimized for Nvidia's Vera Rubin platform, the chipmaker said in a Monday release.The SOCAMM2 192GB (gigabyte) product is a memory module standard that is based on 10-nanometer class 6th generation (1c) LPDDR5X low-power dynamic random access memory, the release said.SOCAMM2 is a module that adapts low-power memory for server environments, and is primarily used in next-generation AI servers, it said.Shares of SK Hynix rose 3% in recent trade.