SK hynix posts record Q2 profit of W60.5 trillion as AI memory prices surge
Key Takeaways
- •Second-quarter operating profit rose to 60.54 trillion won, up 557.2 percent from a year earlier.
- •Revenue increased to 79.32 trillion won and net profit reached 93.92 trillion won.
- •First-half revenue totaled 131.9 trillion won, the first time SK hynix has exceeded 100 trillion won in a six-month period.
- •Sales growth was driven by higher prices for DRAM and NAND flash, with demand centered on HBM, AI server DRAM and enterprise SSDs.
- •Mass-production shipments of HBM4 began in the second quarter, and the company said long-term supply negotiations have been completed with about 10 customers.
SK hynix reported record quarterly earnings for the second quarter on Wednesday, posting operating profit of 60.54 trillion won ($41.6 billion), a 557.2 percent increase from a year earlier as memory prices for AI servers continued to rise.
Revenue came to 79.32 trillion won, up 256.8 percent on year and 51 percent from the first quarter. Net profit reached 93.92 trillion won, up 1,242.5 percent. The chipmaker said the results translated into an operating margin of 76 percent and a net margin of 118 percent.
The quarterly operating profit alone exceeded the company’s full-year 2025 operating profit of 47.21 trillion won. For the first half, revenue totaled 131.9 trillion won, the first time SK hynix has surpassed 100 trillion won in a six-month period, while operating profit reached 98.15 trillion won.
“Both DRAM and NAND flash recorded sharp price increases following the previous quarter,” the company said, adding that sales growth was concentrated in high-value products including HBM, DRAM for AI servers and enterprise SSDs. Those product lines remain central to the memory supply chain for data centers and AI hardware, where demand has been shifting toward higher-performance components.
Cash and cash equivalents rose by 33.6 trillion won from the previous quarter to 88 trillion won, while borrowings fell by 0.7 trillion won to 18.6 trillion won, leaving a net cash position of 69.4 trillion won.
SK hynix said it had completed long-term supply agreement negotiations with roughly 10 customers, including key accounts, and was continuing discussions with other major buyers. The company said the move toward multiyear deals reflects broadening demand as AI shifts toward agents that perform complex tasks on users’ behalf, boosting orders for conventional memory as well as AI-specific products.
Mass-production shipments of HBM4 began in the second quarter, with output scheduled to increase in the second half. SK hynix said HBM4 met customer-requested operating speeds while delivering what it described as industry-leading power efficiency and cost competitiveness. Samples of HBM4E were supplied in the first half.
In NAND, 321-layer products already account for the largest share of output and are targeted to reach half of domestic capacity by year-end. SK hynix also said it has advanced the production timeline at its M15X fab while maintaining what it described as capital expenditure discipline.