The chipmaker will repurchase and cancel 24.07 million shares, reducing outstanding stock by 3.3% amid strong cash reserves.
SK Hynix announced a $28.6 billion share buyback program, repurchasing up to 24.07 million common shares between August 20 and November 19. The move represents 3.3% of its outstanding stock and follows a 9% decline in its ADSs during the prior session.
The company ended Q2 with 69.4 trillion won in net cash, supported by 88 trillion won in cash and short-term investments and 18.6 trillion won in debt. SK Hynix will cancel repurchased shares, potentially boosting earnings per share by 3.4% if profits remain unchanged.
Shares initially rose nearly 4% but closed just 0.4% higher, reflecting investor uncertainty over whether the buyback signals confidence in AI-driven demand or a peak in memory-cycle profitability.