SK Hynix Forecasts 2030 Shortage, Hits Record Earnings

SK Hynix says the global memory-chip shortage will last until 2030, stressing a long-term squeeze on electronics makers. The South Korean firm posted record quarterly revenue of 104.6 trillion won, up 32% from the prior quarter. Operating profit hit 83.3 trillion won, up 38% QoQ, driven by high-bandwidth memory used with AI accelerators. More than half of SK Hynix's capacity is already booked for 2027 and 2028 under long-term agreements. The company will invest 40 trillion won to expand, up from 30 trillion in 2025. SK Hynix plans to return 100 trillion won to shareholders, adding to a 40 trillion won buyback announced earlier. CEO Kwak Noh-Jun said the gains from a stake in Kioxia will replenish capacity for shareholder returns. Shares jumped 11% after the earnings, lifting the KOSPI by 6.63% and boosting tech stocks worldwide. Despite the surge, SK Hynix shares are still more than 50% lower than their mid-year peak. The company's warning underscores how the AI boom fuels demand while tightening margins for device makers.