SK hynix reported second-quarter 2026 revenue of 79.3187 trillion won, operating profit of 60.5426 trillion won, and net profit of 93.9226 trillion won — all-time highs for the company, with an operating margin of 76% and net margin of 118%.
The results were fueled by continued demand growth tied to expanding AI infrastructure investment, as high-performance products for AI servers pushed prices higher and allowed SK hynix to top its own record from the prior quarter.
First-half cumulative revenue surpassed 100 trillion won for the first time in the company’s history, with revenue up 257% and operating profit up 557% year-over-year — compared with 22.232 trillion won in revenue and 9.2129 trillion won in operating profit in the same quarter last year.
DRAM and NAND flash memory prices both rose significantly quarter-over-quarter, with SK hynix crediting its strong profitability to expanded sales of high-value-added products including HBM, DRAM for AI servers, and eSSD.
Financial Position Improves Sharply
Cash and cash equivalents reached 88 trillion won at quarter’s end, up 33.6 trillion won from the previous quarter, while total debt fell by 0.7 trillion won to 18.6 trillion won — pushing the company’s net cash position up to 69.4 trillion won. SK hynix said its financial flexibility has strengthened considerably, backed by record profit levels and strong cash generation.
AI Broadens the Memory Market
As AI shifts toward more agentic capabilities — performing complex tasks on users’ behalf across a widening range of services — SK hynix said the underlying demand base for memory is broadening in kind, with demand for both AI-specific and conventional memory now growing together.
With major tech companies continuing to expand AI infrastructure investment, funded in part by AI-related service revenue, the company expects this demand momentum to continue.
Against that backdrop, SK hynix is expanding multi-year contract talks with customers to secure supply stability over the medium to long term, and has already finalized Long-Term Agreements with around 10 customers, including key strategic partners, with discussions ongoing with other major clients. The company said this approach aims to boost operational efficiency while reinforcing long-term business stability and sustainable growth.
As AI models grow more advanced, SK hynix noted that memory competitiveness increasingly extends into system architecture and packaging — an area where it plans to lead by leveraging its broad product portfolio and co-development work with customers.
HBM4 Leads Technology Push
HBM4 has shown a clear technological edge, according to the company, hitting customer-required operating speeds while delivering industry-leading power efficiency and cost competitiveness.
Mass shipments began in the second quarter, with production set to ramp further in the second half. HBM4E, which completed sample shipments in the first half, used processes optimized for technology maturity and mass-production stability.
SK hynix said it intends to maintain its leadership in HBM through a combination of quality, high-yield supply stability, cost competitiveness, and performance.
SOCAMM2 sales grew significantly during the quarter, and shipments based on 10nm-class 6th generation (1c) process technology began in earnest. In NAND, the company is accelerating its move to advanced process nodes, with 321-layer products already representing its largest production share — a figure it aims to push to roughly 50% of domestic capacity by year-end.
Investment Plans to Meet Tight Supply
With customer demand currently outpacing supply, SK hynix said the ability to deliver requested volumes on time has become a core competitive strength. The company is accelerating its mass production timeline for M15X and investing to rapidly scale capacity following the planned opening of the Yongin Phase 1 cleanroom in early 2027.
Additional mid-to-long-term investments — including the recently announced P&T7 advanced packaging facility, the M17 NAND production base, and a new semiconductor cluster — will roll out in phases based on customer demand and investment efficiency.
SK hynix said it will continue strengthening both production capacity and financial health, balancing preparation for future growth against continued capital expenditure discipline.