Key Highlights

  • Third-quarter operating profit is expected at 76.964 trillion won, a record and the sixth straight quarterly record.
  • The expected operating margin is about 78.4%, implying revenue near 98 trillion won (calculated).
  • Fourth-quarter operating profit is expected at 87.27 trillion won.
  • The American depositary shares closed at $131.69 on October 22, down 8.1%.
  • Korean shares fell 31.5% over seven sessions from October 6 before a first rebound on October 16.

SK hynix Earnings: Has the Third-Quarter Report Arrived Yet?

SK hynix (NASDAQ:SKHY) had not reported third-quarter results on Tuesday, October 27. Korean press coverage points to a release on Thursday, October 29, while one data page lists October 28 as tentative, so no company figures exist yet for the quarter.

Korean analyst consensus expects an operating profit of 76.964 trillion won, which would be a record and the sixth straight quarterly record. The expected margin is about 78.4%, which implies revenue near 98 trillion won (calculated, not a published estimate). All figures here are in Korean won. The quarter follows a second-quarter report in which profit and cash flow beat expectations while revenue came in slightly below, which keeps attention on top-line growth.

SK hynix Expectations: What Is Priced Into the Record Profit Forecast?

Analysts expect fourth-quarter operating profit to rise further to 87.27 trillion won. One brokerage forecast third-quarter DRAM prices up 22% and NAND up 15%, while another expects fourth-quarter DRAM contract prices up 10% to 15%.

High-bandwidth memory is the central driver. HBM4 average selling prices are projected to be 121% above the prior generation, and Counterpoint data put SK hynix at 50% of second-quarter HBM share, ahead of Samsung at 33% and Micron at 18%. Last quarter, SK hynix beat on profit but slightly missed on revenue, according to a research firm summary. Brokerage estimates are the only guide to HBM4 pricing until management speaks on the call.

SK hynix Shares: Why Did the Korean Chip Selloff Hit So Hard?

Korean chip shares fell 31.5% over seven sessions from October 6, with Samsung down 23.9%, before the first rebound on October 16. A scare over China's CXMT DRAM output and worries about AI spending contributed to the drop.

On Thursday, October 22, the American depositary shares closed at $131.69, down 8.1%, as Korea's market fell more than 3%, Lam Research gave a soft forecast and a large customer trimmed spending. The shares rose 4.37% to $137.44 early on Friday, October 23. The ADS began trading around July 10 and closed at $175.87 on July 23. The ADS market capitalization was about $732 billion in early trading on October 23, according to quote data.

SK hynix Capital Returns: Will Buybacks and Won Moves Matter?

Brokerage analysts expect funding for additional shareholder returns above 30 trillion won, with buybacks and cancellations favored over dividends. A solid report could also reopen talk of Solidigm, whose roughly $10 billion US listing was shelved amid regulatory scrutiny in Korea.

Currency matters as well: a 10% won appreciation would cut pre-tax profit by about 1.2104 trillion won, with the exchange rate near 1,300 per dollar.

SK hynix Next Steps: What Should Investors Watch on Report Day?

Watch the reported operating profit against 76.964 trillion won, HBM4 shipment and pricing commentary, fourth-quarter demand language and any shareholder return announcement. The company's own figures will replace these estimates once released.