SK hynix
000660, KOSPI, Semiconductors
- Prev. close
- ₩1,677,932
- Volume
- 2.9M
- Market cap
- ₩1233.1T
- -43% from high
Why a candidate
Exp 61/100Lending balance
Unwinding11,329,663 sh
KRW 19.1T
New 340,145 sh, Returned 715,104 sh
Shares borrowed through securities lending that have not yet been returned. Borrowed shares are often sold afterwards, so the balance is used as a reference for pending sell pressure.
As of 2026-08-26, FSC stock lending data
Company profile
Unqualified opinion에스케이하이닉스(주)
- CEO
- 곽노정
- Employees
- 34,549
- Average tenure
- 13.4 years
- Average pay per employee
- ₩185M
- Listed
- 1996-12-26
- Founded
- 1949-10-15
- Auditor
- 삼정회계법인
As filed 2026-08-26
Company siteCompany research
Researched 2026-08-23 15:20 KSTRevenue grew 257 percent year on year in the quarter, while cost of sales grew 30 percent.
SK hynix booked revenue of 79.32 trillion won and operating profit of 60.54 trillion won in the second quarter of 2026. Against the same quarter a year earlier revenue rose 257 percent, but cost of sales moved only from 10.25 trillion won to 13.33 trillion won, a 30 percent increase, so the gross margin went from 53.9 percent to 83.2 percent. Almost the entire memory price increase stayed in the company as profit. Net profit of 93.92 trillion won sits more than 33 trillion won above operating profit, and the half year report shows finance income of 65.86 trillion won in between.
Key figures
- Q2 revenue
- 79.32 trillion won
- 2026-06-30
- Operating profit
- 60.54 trillion won
- 2026-06-30
- Operating margin
- 76%
- 2026-06-30
- Cost of sales
- 13.33 trillion won
- 2026-06-30
- Pre-tax profit
- 122.71 trillion won
- 2026-06-30
- Net profit
- 93.92 trillion won
- 2026-06-30
- Net cash
- 69.4 trillion won
- 2026-06-30
Revenue at 3.6 times a year ago, cost at 1.3 times
Second quarter revenue of 79.32 trillion won is 3.6 times the 22.23 trillion won booked in the same quarter of 2025. Over the same stretch cost of sales moved from 10.25 trillion won to 13.33 trillion won, a rise of 30 percent. That gap is a price story rather than a volume story. The company said in its release that both DRAM and NAND flash recorded another large price increase after the previous quarter, and that it sold more high value products such as high bandwidth memory, server DRAM and enterprise SSDs. Selling and administrative expenses nearly doubled, from 2.77 trillion won to 5.45 trillion won, and the operating margin still went from 41 percent to 76 percent.
Quarterly operating margin
%Net profit is 33 trillion won larger than operating profit
Operating profit for the quarter was 60.54 trillion won and net profit was 93.92 trillion won. Normally interest and tax pull the second number below the first; this quarter it runs the other way. Pre-tax profit swelled to 122.71 trillion won, and after income tax of 28.79 trillion won what remained was 93.92 trillion won. Roughly 62 trillion won was added between operating profit and pre-tax profit, and that line is finance income and expense.
Second quarter 2026 profit steps (trillion won)
- Revenue79.3
- Gross profit66.0
- Operating profit60.5
- Pre-tax profit122.7
- Net profit93.9
The 62 trillion won did not come from selling chips
The notes to the half year report put second quarter finance income at 65.86 trillion won. Valuation gains on financial instruments account for most of it at 53.24 trillion won, followed by dividend income of 10.03 trillion won, foreign exchange differences of 2.15 trillion won and interest income of 0.30 trillion won. Finance costs were 3.64 trillion won and include a derivative related loss of 2.48 trillion won. A valuation gain is the result of remeasuring instruments the company holds at the closing date, which is not the same as cash arriving. The note names the line item and stops there; it does not break out which assets produced the 53 trillion won.
Second quarter 2026 finance income by line (trillion won)
- Valuation gain on instruments53.2
- Dividend income10.0
- FX differences2.1
- Interest income0.3
- Other0.1
88 trillion won in cash, and 54 trillion won committed in August
Cash and cash equivalents stood at 88 trillion won at the end of the quarter, up 33.6 trillion won from three months earlier. Borrowings fell by 0.7 trillion won to 18.6 trillion won, leaving net cash of 69.4 trillion won. Nine days after the results, on 7 August, the board approved two new facility investments: 35.22 trillion won for the second phase fab at the Yongin semiconductor cluster, running to October 2031, and 19.10 trillion won for the M17 plant in Cheongju, running to April 2031. Together the 54.32 trillion won equals 45 percent of consolidated equity of 120.67 trillion won at the end of 2025.
New facility investments approved on 7 August 2026 (trillion won)
- Yongin cluster phase 2 fab35.2
- Cheongju M1719.1
The provisional label, and an exchangeable bond
The company attached a note to its release saying the figures are provisional and have not completed external audit review. On 14 August it separately disclosed a derivative trading loss of 3.98 trillion won. The loss was recognised for accounting purposes when holders exercised the exchange right on bonds issued on 11 April 2023 and the share price rose, and the company stated that no cash left the business. It equals 3.3 percent of equity. Two things are worth checking in the third quarter: whether memory prices keep climbing, and whether the valuation gain that produced 53 trillion won this time can swing the other way.
Common questions
- Why did the SK hynix operating margin reach 76 percent in the second quarter of 2026?
- Costs did not follow prices up. Revenue rose 257 percent year on year to 79.32 trillion won while cost of sales rose 30 percent to 13.33 trillion won, and the gross margin moved from 53.9 percent to 83.2 percent over the same period.
- Can net profit be larger than operating profit in a quarter?
- It can when income is added below the operating line. Finance income of 65.86 trillion won pushed operating profit of 60.54 trillion won up to pre-tax profit of 122.71 trillion won, and net profit after income tax of 28.79 trillion won was 93.92 trillion won. Most of that finance income, 53.24 trillion won, is a valuation gain on instruments the company holds.
- How large were the facility investments approved in August 2026?
- The two decisions total 54.32 trillion won. On 7 August the board approved 35.22 trillion won for the second phase fab at the Yongin semiconductor cluster and 19.10 trillion won for M17 in Cheongju, scheduled to run to October 2031 and April 2031.
Sources
- 1.SK hynix second quarter 2026 business results SK hynix Newsroom, as of 2026-07-29
- 2.Provisional consolidated operating results, fair disclosure DART, Financial Supervisory Service, as of 2026-07-29
- 3.Half year report (June 2026), consolidated income statement and note 24 DART, Financial Supervisory Service, as of 2026-08-14
- 4.New facility investment: Yongin semiconductor cluster phase two fab DART, Financial Supervisory Service, as of 2026-08-07
- 5.New facility investment: Cheongju M17 construction DART, Financial Supervisory Service, as of 2026-08-07
- 6.Disclosure of derivative trading loss DART, Financial Supervisory Service, as of 2026-08-14
- 7.SK hynix 2025 full year business results SK hynix Newsroom, as of 2026-01-28
Reference information compiled from public material. Not investment advice; decisions and their consequences rest with the investor.
See research on other stocks →Today's read
SK hynix scores 61 out of 100 on today's InverseOne expectation ranking, 8 of 30 in the Korean large-cap universe. There is 77% of room left to its 52-week high. Today's move of +0.60% came with money flowing in, alongside the Semiconductors sector. Scores are estimates built from price and volume, a starting point for research rather than a trading signal.
Data basis: 2026-08-28, For reference only, not advice
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