AI memory surge powers record profit, first HBM4 production, new $10b US AI unit
SK hynix posted a record profit in 2025, as surging demand for artificial intelligence memory chips more than doubled its operating profit and allowed the company to overtake Samsung Electronics as South Korea’s most profitable listed firm by operating income.
In a regulatory filing Wednesday, the chipmaker reported annual sales of 97.1 trillion won ($70.4 billion) and an operating profit of 47.2 trillion won, both all-time highs. The operating profit surpassed Samsung Electronics’ preliminary figure of 43.5 trillion won, marking the first time SK hynix has topped the profitability ranking among Korean listed companies.
Fourth-quarter revenue rose 66.1 percent on-year to 32.8 trillion won, while operating profit surged 137.2 percent to 19.1 trillion won, lifting the operating margin to 58 percent. The results exceeded market expectations of 30.7 trillion won in revenue and 16.1 trillion won in operating profit, marking SK hynix’s third consecutive quarter of record earnings.
SK hynix said 2025 reaffirmed its technological leadership as the industry pivots toward AI-driven demand.
“In response to an AI-centric demand structure, the company secured both growth and profitability by strengthening technological competitiveness and expanding its portfolio of high-value-added products,” the company said.
DRAM led performance, with high bandwidth memory revenue more than doubling from 2024. SK hynix began mass production using its sixth-generation 10-nanometer DRAM process and developed a 256-gigabyte DDR5 server module based on fifth-generation technology, reinforcing its position in the server market.
In NAND flash, the company achieved record annual sales despite weak demand in the first half, as orders for enterprise solid-state drives rebounded in the second half. SK hynix also completed development of 321-layer quad-level cell NAND products during the year.
Looking ahead, the company said the shift from AI model training to inference, along with the rise of distributed computing architectures, will drive sustained demand not only for high-performance HBM but also for conventional server DRAM and NAND products.
SK hynix underscored that it is the only chipmaker capable of stably supplying both HBM3E and next-generation HBM4, noting that it has already begun mass production of HBM4 chips. The company also plans to accelerate the adoption of its 1c-nanometer process for conventional DRAM and expand its AI memory lineup to include CAMM2 modules and GDDR7 graphics memory.
In NAND, SK hynix will transition to 321-layer technology and leverage its subsidiary Solidigm’s enterprise SSDs to capture growing AI data center storage demand.
To meet customer demand, the company said it will maximize production at its M15X fab in Cheongju, North Chungcheong Province, and secure mid- to long-term capacity by constructing the first fab at the Yongin Semiconductor Cluster in Gyeonggi Province.
On the back of its record performance, SK hynix announced an aggressive shareholder return program worth about 14.3 trillion won. The company will pay an additional year-end dividend of 1,500 won per share, bringing total fourth-quarter dividends to 1,875 won per share and full-year dividends to 3,000 won per share, or 2.1 trillion won in total.
It plans to cancel 15.3 million treasury shares valued at roughly 12.2 trillion won, equivalent to 2.1 percent of shares outstanding.
SK hynix also announced later in the day that it will commit $10 billion to establish a US-based AI solutions firm to develop new growth engines.
The chipmaker said it will launch the new entity through a restructuring of its US enterprise SSD subsidiary, Solidigm. Under the plan, Solidigm will retain its corporate entity under the name AI Co., while transferring its existing business operations to a newly established unit, Solidigm Inc., to ensure brand continuity.
herim@heraldcorp.com
