Earnings

SK Hynix Says No Shareholder Return Decided, Rebuffing Report Of Won 16 Trillion Special Dividend

The chipmaker says it is weighing payout options and will announce any additional measures with third-quarter earnings on October 28.

Matteo Parrino Jonathan Ponciano

Matteo Parrino, Jonathan Ponciano

— 1 min read
Share
SK Hynix Says No Shareholder Return Decided, Rebuffing Report Of Won 16 Trillion Special Dividend

SK hynix said Monday that no shareholder return measures have been determined, answering a Dong-A Ilbo report that it is pursuing a special dividend of about Won 16 trillion. The newspaper said the payout would be funded by gains from selling the company's stake in Japan's Kioxia Holdings.

A clarification, not a confirmation

In a statement furnished to the SEC, the company said it is reviewing various shareholder return measures to enhance shareholder value, but that nothing has been settled as of Monday. The Dong-A Ilbo report was published October 26.

SK hynix said it plans to announce additional shareholder return measures, subject to board approval, when it reports third-quarter earnings on October 28.

Returns on the table before the report

The denial follows Friday coverage in which Yahoo Finance said SK hynix halted its review of a possible U.S. IPO for its Solidigm unit. The same coverage said management told investors on its earnings call that it was weighing more shareholder returns, and that the company still wants to build a new U.S. chip plant while exploring other ways to fund it.

SK hynix's U.S.-listed shares closed at $137.02 at Friday's close, before Monday's clarification. The company's market value stood at $998.7 billion.

The earnings announcement on Wednesday, October 28, is when SK hynix says any additional shareholder return measures will be revealed, pending board approval.

Sources

Read more