Seoul: SK hynix Inc. announced on Wednesday an unprecedented annual operating profit of 47.2 trillion won (US$33.1 billion) for 2025, driven by the thriving artificial intelligence (AI) market. This achievement marks the first time SK hynix has outpaced Samsung Electronics Co. in operating profits.
According to Yonhap News Agency, the South Korean chip giant attributed its significant financial performance to the increased demand for high bandwidth memory (HBM) products within the AI sector. The company's net profit for 2025 surged to 42.9 trillion won, reflecting a 116.9 percent increase from the previous year, while sales rose by 46.8 percent to reach 97.1 trillion won.
These figures represent new milestones for SK hynix in both operating profit and sales, showcasing its lead over Samsung Electronics not only in the chip segment but across its entire business portfolio. Earlier this month, Samsung Electronics had estimated its total annual operating profit for the previous year at 43.5 trillion won.
SK hynix's operating profit margin stood at 49 percent in 2025, just below the 52 percent record set in 2018. Analysts project the company could achieve an annual operating profit of 100 trillion won or more this year, with an anticipated operating margin of around 60 percent.
For the fourth quarter, SK hynix reported a net income of 15.24 trillion won, marking a 90.4 percent increase from the previous year. The company's operating profit for the October-December period soared by 137.2 percent year-on-year to 19.16 trillion won, with sales increasing by 66.1 percent to 32.82 trillion won. These results surpassed market expectations, as analysts had projected a net profit of 13.49 trillion won, according to a Yonhap Infomax survey.
In response to the growing demand for HBM and conventional memory solutions for servers, SK hynix has enhanced its technological competitiveness and expanded its portfolio of high value-added products. The company noted that revenue from its DRAM segment, particularly HBM, more than doubled year-on-year, significantly contributing to its record performance.
Looking to the future, SK hynix plans to expand its production capacity and remains the industry's sole player capable of reliably supplying both HBM3E and HBM4. The company has already commenced large-scale production of next-generation HBM4 to meet customer demands.
Additionally, SK hynix announced plans to cancel treasury shares worth 12.2 trillion won and will offer dividends of 1,500 won per share, totaling 1 trillion won. The total dividends paid to investors for fiscal 2025 will amount to 3,000 won per share, or 2.1 trillion won.
On Wednesday, SK hynix's market capitalization reached a record 612 trillion won, with shares closing at 841,000 won, up 5.12 percent from the previous session. This milestone follows a significant rise from 420,000 won in October.
SK hynix President Song Hyun-jong emphasized the company's commitment to becoming a vital infrastructure partner in the AI era, supporting customers in achieving their AI performance goals.