SK hynix Reports Record Profit but Shares Plummet on Forecast Miss

SK hynix reported record second-quarter results on July 29, with revenue reaching 79.32 trillion won and operating profit soaring more than sixfold year-on-year to 60.54 trillion won. Net profit reached 93.92 trillion won, bolstered by a 63.3 trillion won gain from selling its stake in Kioxia. Despite these figures, the company's shares dropped as much as 20.9 percent intraday after it missed analyst estimates for both revenue and profit.

Management attributed the miss to limited DRAM price gains and shipment delays of high-value products. To stabilize the business against short-term market fluctuations and investor fears that AI pricing momentum is normalizing, the company secured five-year supply agreements with approximately 10 customers. The company also listed American depositary receipts on the Nasdaq.

To meet ongoing demand, SK hynix plans to increase 2026 capital spending to the high-40 trillion won range. These funds will expand production capacity at sites in Icheon, Cheongju, and the Yongin semiconductor cluster, including the M15X fab. The company maintains that AI infrastructure investment will remain solid beyond next year as cloud service providers continue to compete and AI services expand.