SK hynix Reports Record-Breaking Financial Results for Q4 2024, Driven by AI Memory Demand

/C O R R E C T I O N -- SK hynix Inc./ - (HXSCL)

Enter your email to get Benzinga's ultimate morning update: The PreMarket Activity Newsletter In the news release, SK hynix Announces 4Q24 Financial Results, issued 22-Jan-2025 by SK hynix Inc. over PR Newswire, we are advised by the company that the 3rd paragraph, 1st sentence, should read "In particular, fourth quarter revenues went up by 12% to 19.7670 trillion won, operating profit up 15% to 8.0828 trillion won (with an operating margin of 41%) from the previous quarter and net profit recorded 8.0065 trillion won (with a net margin of 41%)." rather than "In particular, fourth quarter revenues went up by 12% to 19.7670 trillion won, operating profit up 15% to 8.0828 trillion won (with an operating margin of 41%) from the same period last year and net profit recorded 8.0065 trillion won (with a net margin of 41%)." as originally issued inadvertently. The complete, corrected release follows: SK hynix Announces 4Q24 Financial Results Revenues for 2024 at 66.1930 trillion won, operating profit at 23.4673 trillion won, net profit at 19.7969 trillion wonRevenues for Q4 at 19.7670 trillion won, operating profit at 8.0828 trillion won, net profit at 8.0065 trillion wonAchieving best-ever quarterly and yearly performance with increased sales of AI memory products including HBM and eSSDCompany to affirm the possibility of achieving sustainable profit through differentiation of AI product competitiveness and profitability-oriented operation SEOUL, South Korea, Jan. 22, 2025 /PRNewswire/ -- SK hynix Inc. (or "the company", www.skhynix.com) announced today that it recorded best-ever yearly performance with 66.1930 trillion won in revenues, 23.4673 trillion won in operating profit (with an operating margin of 35%), and 19.7969 trillion won in net profit (with a net margin of 30%). Yearly revenues marked all-time high, exceeding the previous record in 2022 by over 21 trillion won and operating profit exceeded the record in 2018 during the semiconductor super boom. * FY2022 Yearly Revenues: 44.6216 trillion won / FY2018 Yearly Operating Profit: 20.8437 trillion won In particular, fourth quarter revenues went up by 12% to 19.7670 trillion won, operating profit up 15% to 8.0828 trillion won (with an operating margin of 41%) from the previous quarter and net profit recorded 8.0065 trillion won (with a net margin of 41%). SK hynix emphasized that with prolonged strong demand for AI memory, the company achieved all-time high result through world-leading HBM technology and profitability-oriented operation. HBM continued its high growth in fourth quarter marking over 40% of total DRAM revenue and eSSD also showed constant increase in sales. With remarkable product competitiveness based profitability-oriented operation, the company established a stable financial condition which led to improved outcome. Annual result of 2024 demonstrated memory company's possibility of stable profit gain by supplying product in right time to meet customers' needs. Especially, in which the memory sector is being transformed into a high-performance, high-quality market with growth of AI memory demand. Based on the financial result, at the end of 2024, cash equivalent increased by 5.2 trillion won to 14.2 trillion won and debt decreased by 6.8 trillion won to 22.7 trillion won compared to the end of 2023, leading the significant improvement in the debt ratio and net debt ratio to 31% and 12% respectively. SK hynix forecasts that the demand of HBM and high density server DRAM, which is essential in high performance computing, will continue to increase as the global big tech companies' investment in AI servers grow and AI inference technology gains importance. In the consumer market, which inventory adjustment is expected, sales of PC and smartphones equipped with AI will expand and the market situation will pick up in the second half of the year. Therefore, the company plans to expand HBM3E supply and develop HBM4 in right time to meet customers' needs. With stable demand, the company aims to push for the transition to advanced process, necessary for the production of competitive DDR5 and LPDDR5. For NAND, as last year, the company plans to meet the market with profitability-oriented operation and flexible sales strategies. SK hynix raised the annual fixed dividend by 25% to 1,500 won a share from 1,200 won and hiked total amount of the cash dividend to 1 trillion won annually. Along with the raise, the company decided to put aside 5% of the free cash flow, which was formerly included in the dividend policy, for enhancement of the financial structure. "With significantly increased portion of high value-added products, SK hynix has built fundamental to achieve sustainable revenues and profits even in times of market correction." said Kim Woohyun, Vice President and Chief Financial Officer (CFO) at SK hynix. "While maintaining the profitability-first commitment, the company will make flexible investment decisions in line with market situation." ■ FY2024 Financial Results (K-IFRS) *Unit: Billion KRW FY24 YoY FY23 Change Revenues 66,193.0 32,765.7 102 % Operating Profit 23,467.3 -7,730.3 Turn to profit Operating Margin 35 % -24 % 59%p Net Income 19,796.9 -9,137.5 Turn to profit ■ 4Q24 Financial Results (K-IFRS) *Unit: Billion KRW 4Q24 QoQ YoY 3Q24 Change 4Q23 Change Revenues 19,767.0 17,573.1 12 % 11,305.5 75 % Operating Profit 8,082.8 7,030.0 15 % 346.0 2,236 % Operating Margin 41 % 40 % 1%p 3 % 38%p Net Income 8,006.5 5,753.4 39 % -1,379.5 Turn to profit ※ Financial information of the earnings is based on K-IFRS ※ Please note that the financial results discussed herein are preliminary and speak only as of January 23, 2025. Readers should not assume that this information remains operative at a later time. About SK hynix Inc. SK hynix Inc., headquartered in Korea, is the world's top tier semiconductor supplier offering Dynamic Random Access Memory chips ("DRAM"), flash memory chips ("NAND flash") and CMOS Image Sensors ("CIS") for a wide range of distinguished customers globally. The Company's shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxemburg Stock Exchange. Further information about SK hynix is available at www.skhynix.com, news.skhynix.com. View original content:https://www.prnewswire.com/news-releases/sk-hynix-announces-4q24-financial-results-302357960.html SOURCE SK hynix Inc. Market News and Data brought to you by Benzinga APIs

SK hynix Announces 4Q24 Financial Results - (HXSCL)

Enter your email to get Benzinga's ultimate morning update: The PreMarket Activity NewsletterRevenues for 2024 at 66.1930 trillion won, operating profit at 23.4673 trillion won, net profit at 19.7969 trillion wonRevenues for Q4 at 19.7670 trillion won, operating profit at 8.0828 trillion won, net profit at 8.0065 trillion wonAchieving best-ever quarterly and yearly performance with increased sales of AI memory products including HBM and eSSDCompany to affirm the possibility of achieving sustainable profit through differentiation of AI product competitiveness and profitability-oriented operation SEOUL, South Korea, Jan. 22, 2025 /PRNewswire/ -- SK hynix Inc. (or "the company", www.skhynix.com) announced today that it recorded best-ever yearly performance with 66.1930 trillion won in revenues, 23.4673 trillion won in operating profit (with an operating margin of 35%), and 19.7969 trillion won in net profit (with a net margin of 30%). Yearly revenues marked all-time high, exceeding the previous record in 2022 by over 21 trillion won and operating profit exceeded the record in 2018 during the semiconductor super boom. * FY2022 Yearly Revenues: 44.6216 trillion won / FY2018 Yearly Operating Profit: 20.8437 trillion won In particular, fourth quarter revenues went up by 12% to 19.7670 trillion won, operating profit up 15% to 8.0828 trillion won (with an operating margin of 41%) from the same period last year and net profit recorded 8.0065 trillion won (with a net margin of 41%). SK hynix emphasized that with prolonged strong demand for AI memory, the company achieved all-time high result through world-leading HBM technology and profitability-oriented operation. HBM continued its high growth in fourth quarter marking over 40% of total DRAM revenue and eSSD also showed constant increase in sales. With remarkable product competitiveness based profitability-oriented operation, the company established a stable financial condition which led to improved outcome. Annual result of 2024 demonstrated memory company's possibility of stable profit gain by supplying product in right time to meet customers' needs. Especially, in which the memory sector is being transformed into a high-performance, high-quality market with growth of AI memory demand. Based on the financial result, at the end of 2024, cash equivalent increased by 5.2 trillion won to 14.2 trillion won and debt decreased by 6.8 trillion won to 22.7 trillion won compared to the end of 2023, leading the significant improvement in the debt ratio and net debt ratio to 31% and 12% respectively. SK hynix forecasts that the demand of HBM and high density server DRAM, which is essential in high performance computing, will continue to increase as the global big tech companies' investment in AI servers grow and AI inference technology gains importance. In the consumer market, which inventory adjustment is expected, sales of PC and smartphones equipped with AI will expand and the market situation will pick up in the second half of the year. Therefore, the company plans to expand HBM3E supply and develop HBM4 in right time to meet customers' needs. With stable demand, the company aims to push for the transition to advanced process, necessary for the production of competitive DDR5 and LPDDR5. For NAND, as last year, the company plans to meet the market with profitability-oriented operation and flexible sales strategies. SK hynix raised the annual fixed dividend by 25% to 1,500 won a share from 1,200 won and hiked total amount of the cash dividend to 1 trillion won annually. Along with the raise, the company decided to put aside 5% of the free cash flow, which was formerly included in the dividend policy, for enhancement of the financial structure. "With significantly increased portion of high value-added products, SK hynix has built fundamental to achieve sustainable revenues and profits even in times of market correction." said Kim Woohyun, Vice President and Chief Financial Officer (CFO) at SK hynix. "While maintaining the profitability-first commitment, the company will make flexible investment decisions in line with market situation." ■ FY2024 Financial Results (K-IFRS) *Unit: Billion KRW FY24 YoY FY23 Change Revenues 66,193.0 32,765.7 102 % Operating Profit 23,467.3 -7,730.3 Turn to profit Operating Margin 35 % -24 % 59%p Net Income 19,796.9 -9,137.5 Turn to profit ■ 4Q24 Financial Results (K-IFRS) *Unit: Billion KRW 4Q24 QoQ YoY 3Q24 Change 4Q23 Change Revenues 19,767.0 17,573.1 12 % 11,305.5 75 % Operating Profit 8,082.8 7,030.0 15 % 346.0 2,236 % Operating Margin 41 % 40 % 1%p 3 % 38%p Net Income 8,006.5 5,753.4 39 % -1,379.5 Turn to profit ※ Financial information of the earnings is based on K-IFRS ※ Please note that the financial results discussed herein are preliminary and speak only as of January 23, 2025. Readers should not assume that this information remains operative at a later time. About SK hynix Inc. SK hynix Inc., headquartered in Korea, is the world's top tier semiconductor supplier offering Dynamic Random Access Memory chips ("DRAM"), flash memory chips ("NAND flash") and CMOS Image Sensors ("CIS") for a wide range of distinguished customers globally. The Company's shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxemburg Stock Exchange. Further information about SK hynix is available at www.skhynix.com, news.skhynix.com. View original content:https://www.prnewswire.com/news-releases/sk-hynix-announces-4q24-financial-results-302357960.html SOURCE SK hynix Inc. Market News and Data brought to you by Benzinga APIs

C O R R E C T I O N -- SK hynix Inc. By Investing.com

In the news release, SK hynix Announces 4Q24 Financial Results, issued by SK hynix Inc. (KS:000660) over PR Newswire, we are advised by the company that the 3rd paragraph, 1st sentence, should read "In particular, fourth quarter revenues went up by 12% to , operating profit up 15% to (with an operating margin of 41%) from the previous quarter and net profit recorded (with a net margin of 41%)." rather than "In particular, fourth quarter revenues went up by 12% to , operating profit up 15% to (with an operating margin of 41%) from the same period last year and net profit recorded (with a net margin of 41%)." as originally issued inadvertently. The complete, corrected release follows: , /PRNewswire/ -- SK hynix Inc. (or "the company", www.skhynix.com) announced today that it recorded best-ever yearly performance with in revenues, in operating profit (with an operating margin of 35%), and in net profit (with a net margin of 30%). Yearly revenues marked all-time high, exceeding the previous record in 2022 by over and operating profit exceeded the record in 2018 during the semiconductor super boom. In particular, fourth quarter revenues went up by 12% to , operating profit up 15% to (with an operating margin of 41%) from the previous quarter and net profit recorded (with a net margin of 41%). SK hynix emphasized that with prolonged strong demand for AI memory, the company achieved all-time high result through world-leading HBM technology and profitability-oriented operation. HBM continued its high growth in fourth quarter marking over 40% of total DRAM revenue and eSSD also showed constant increase in sales. With remarkable product competitiveness based profitability-oriented operation, the company established a stable financial condition which led to improved outcome. Annual result of 2024 demonstrated memory company's possibility of stable profit gain by supplying product in right time to meet customers' needs. Especially, in which the memory sector is being transformed into a high-performance, high-quality market with growth of AI memory demand. Based on the financial result, at the end of 2024, cash equivalent increased by to and debt decreased by to compared to the end of 2023, leading the significant improvement in the debt ratio and net debt ratio to 31% and 12% respectively. SK hynix forecasts that the demand of HBM and high density server DRAM, which is essential in high performance computing, will continue to increase as the global big tech companies' investment in AI servers grow and AI inference technology gains importance. In the consumer market, which inventory adjustment is expected, sales of PC and smartphones equipped with AI will expand and the market situation will pick up in the second half of the year. Therefore, the company plans to expand HBM3E supply and develop HBM4 in right time to meet customers' needs. With stable demand, the company aims to push for the transition to advanced process, necessary for the production of competitive DDR5 and LPDDR5. For NAND, as last year, the company plans to meet the market with profitability-oriented operation and flexible sales strategies. SK hynix raised the annual fixed dividend by 25% to a share from and hiked total amount of the cash dividend to annually. Along with the raise, the company decided to put aside 5% of the free cash flow, which was formerly included in the dividend policy, for enhancement of the financial structure. "With significantly increased portion of high value-added products, SK hynix has built fundamental to achieve sustainable revenues and profits even in times of market correction." said Kim Woohyun, Vice President and Chief Financial Officer (CFO) at SK hynix. "While maintaining the profitability-first commitment, the company will make flexible investment decisions in line with market situation." SK hynix Inc., headquartered in , is the world's top tier semiconductor supplier offering Dynamic Random Access Memory chips ("DRAM"), flash memory chips ("NAND flash") and CMOS Image Sensors ("CIS") for a wide range of distinguished customers globally. The Company's shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxemburg Stock Exchange. Further information about SK hynix is available at www.skhynix.com, news.skhynix.com.