{"id":1613,"date":"2024-11-27T08:30:31","date_gmt":"2024-11-27T08:30:31","guid":{"rendered":"http:\/\/localhost:8080\/sk-hynix-announces-25-percent-hike-in-dividend-in-new-shareholder-return-program\/"},"modified":"2026-07-29T14:54:49","modified_gmt":"2026-07-29T05:54:49","slug":"sk-hynix-announces-25-percent-hike-in-dividend-in-new-shareholder-return-program","status":"publish","type":"post","link":"https:\/\/news.skhynix.com\/en\/sk-hynix-announces-25-percent-hike-in-dividend-in-new-shareholder-return-program\/","title":{"rendered":"SK hynix Announces 25% Hike in Dividend in New Shareholder Return Program"},"content":{"rendered":"

News Highlights<\/strong><\/p>\n

\u00b7 Annual fixed dividend to rise 25% to 1,500 won a share, according to shareholder return program for 2025-27<\/strong>
\n\u00b7 Separate \u201cValue Up\u201d plan stipulates capex discipline to maintain scale of investment at appropriate level<\/strong>
\n\u00b7 New plans aimed at bringing shareholder a return that matches company\u2019s growth, while keeping financial structure stable<\/strong><\/div>\n

Seoul, November 27, 2024<\/strong>
\nSK hynix Inc. (or \u201cthe company\u201d, www.skhynix.com<\/a><\/span>) announced today a new program on shareholder return for the 2025-27 period and the \u201cValue Up\u201d plan aimed at boosting corporate value.<\/p>\n

According to the new shareholder return program, SK hynix will maintain the existing principle of allocating half of the accumulated free cash flow for resources for shareholder return, while raising the annual fixed dividend (minimum dividend per share that SK hynix plans to pay out every year) by 25% to 1,500 won a share from 1,200 won.<\/p>\n

With the hike in the dividend, total amount of the cash dividend is forecast to grow to 1 trillion won annually.<\/p>\n

The move is aimed at meeting the expectations of the shareholders who have helped SK hynix overcome difficulties and challenges and advance to a leading global AI memory provider.<\/p>\n

Despite an expected continuity of a volatile memory business, SK hynix will make its utmost efforts to protect corporate value by pursuing a balance between shareholder return and financial soundness.<\/p>\n

For this, the company established specific targets for financial soundness such as net cash*<\/span> and optimal cash level*<\/span>, while deciding to put aside 5% of the free cash flow for enhancement of the financial structure.<\/p>\n

*<\/span>Net Cash<\/strong>: a company\u2019s cash balance after liabilities are subtracted
\n*<\/span>Optimal Cash Level<\/strong>: resources for annual investment aimed at preparing for future growth<\/p>\n

SK hynix plans to proceed with an additional return to shareholders within the extent that its finances are maintained sound if its financial targets are met until 2027 when the three-year program comes to an end. It will also review the possibility of an early return to shareholders prior to the expiration of the program if a better-than-expected business performance brings a meaningful increase in the level of free cash flow.<\/p>\n

Separately, SK hynix also introduced its \u201cValue Up\u201d initiative aimed at bringing corporate value a notch higher.<\/p>\n

The Capex Discipline from the plan stipulates that total amount of annual investment has to stay at an average mid-30% range, compared with the revenues to ease uncertainties of the future and enable a quick decision making in accordance with market conditions to eventually generate a stable flow of cash.<\/p>\n

The two plans come at a time when SK hynix prepares to make its leadership in the AI memory space more concrete by establishing a desirable technology roadmap for future amid diversifying customer demands and an increasing portion of premium products in the full-fledged AI era.<\/p>\n

Kim Woohyun, Vice President and Chief Financial Officer, said that SK hynix\u2019s corporate value has risen sharply after successfully weathering a downturn amid growing optimism that it will report this year all-time high financial results well above those during a super cycle in 2018.<\/p>\n

\u201cOur goal is to promote the company\u2019s long-term prosperity together with our shareholders by carrying out the policies for shareholder return that matches the company\u2019s growth and stability of the financial structure,\u201d said Kim.<\/p>\n

About SK hynix Inc.<\/strong>
\nSK hynix Inc., headquartered in Korea, is the world\u2019s top tier semiconductor supplier offering Dynamic Random Access Memory chips (\u201cDRAM\u201d), flash memory chips (\u201cNAND flash\u201d) and CMOS Image Sensors (\u201cCIS\u201d) for a wide range of distinguished customers globally. The Company\u2019s shares are traded on the Korea Exchange, and the Global Depository shares are listed on the Luxembourg\u00a0Stock Exchange. Further information about SK hynix is available at www.skhynix.com<\/a><\/span>, news.skhynix.com<\/a><\/span>.<\/p>\n

Media Contact<\/strong>
\nSK hynix Inc.
\nGlobal Public Relations<\/p>\n

Technical Leader
\nKanga Kong
\nE-Mail: global_newsroom@skhynix.com<\/a><\/span><\/p>\n

Technical Leader
\nSooyeon Lee
\nE-Mail: global_newsroom@skhynix.com<\/a><\/span><\/p>\n

\"\"<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

News Highlights Annual fixed dividend to rise 25% to 1,500 won a share, according to shareholder return program for 2025-27 Separate \u201cValue Up\u201d plan stipulates capex discipline to maintain scale of investment at appropriate level New plans aimed at bringing shareholder a return that matches company\u2019s growth, while keeping financial structure stable Seoul, November 27, [\u2026]<\/p>\n","protected":false},"author":23,"featured_media":1612,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_migrated_source_id":16947,"footnotes":"","_members_access_role":[],"_members_access_error":""},"categories":[4],"tags":[185,186,187,188],"class_list":["post-1613","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-press","tag-annual-fixed-dividend","tag-capex-discipline","tag-shareholder-return-program","tag-value-up-program"],"acf":[],"_links":{"self":[{"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/posts\/1613","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/comments?post=1613"}],"version-history":[{"count":3,"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/posts\/1613\/revisions"}],"predecessor-version":[{"id":11654,"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/posts\/1613\/revisions\/11654"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/media\/1612"}],"wp:attachment":[{"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/media?parent=1613"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/categories?post=1613"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/news.skhynix.com\/en\/wp-json\/wp\/v2\/tags?post=1613"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}