Samsung and SK Hynix Announce Record AI Profit Payouts

Samsung Electronics and SK Hynix announced record-breaking shareholder return plans in August 2026 to distribute profits generated by the artificial intelligence boom. Samsung unveiled the largest payout ever set aside by a South Korean firm, totaling between ₩90 trillion and ₩110 trillion ($80 billion). This initiative includes a ₩30 trillion immediate buyback and a commitment to return 50% of its free cash flow through 2026, with approximately €18.5 billion in cash dividends planned for the third quarter.

Simultaneously, SK Hynix announced a ₩40 trillion immediate buyback and pledged to return more than 50% of its free cash flow from 2025 to 2027. While Samsung's total allocation was larger in absolute terms, the market reacted differently on August 24. Samsung shares fell 8%, whereas SK Hynix shares rose 2.4%.

Investors favored SK Hynix due to its more aggressive payout ratio and its status as a pure-play AI memory beneficiary. Samsung's efforts to compete in the high-bandwidth memory market have otherwise contributed to a 135% increase in its share price this year.