SK hynix is launching a large-scale shareholder return program, giving back about 100 trillion won to shareholders this year. It plans to pay more than 30 trillion won in cash dividends and spend more than 60 trillion won buying back and canceling treasury shares.
In a filing on the 28th, SK hynix said it expects shareholder returns for fiscal 2026 to total about 100 trillion won. The figure includes the 40 trillion won share buyback and cancellation decided in August and excludes treasury shares bought for employee compensation. The company plans to carry out shareholder returns in stages until it pays the year-end dividend for this year.
The third-quarter dividend was set at 20,000 won per share. This is 10,000 won linked to earnings plus a special dividend of 10,000 won reflecting gains from its investment in Japanese chipmaker Kioxia. The company plans to return most of the Kioxia investment gains to shareholders through the third-quarter dividend and the year-end dividend. The year-end dividend amount will be set through due process after the accounts are finalized.
The scale of treasury share buybacks and cancellations is also growing. SK hynix resolved on the same day to acquire 20 trillion won worth of treasury shares. Of this, about 10 trillion won is reportedly to be used for shareholder returns and the remaining 10 trillion won or so for employee compensation.
Going forward, SK hynix plans to set the size of treasury share acquisitions at each quarterly board meeting, weighing market conditions and cash flow, and to cancel treasury shares bought for shareholder returns.