SK Hynix Chief Executive Officer (CEO) Kwak No-jung has unveiled ambitious plans to secure over 100 trillion KRW (approximately 66 billion USD) in net cash. This move, building on last year’s record-breaking performance, aims to cement the company’s position as a leader in global artificial intelligence (AI) memory. In a significant step towards expanding its global presence, SK Hynix has also filed an application with the U.S. Securities and Exchange Commission (SEC) for American Depository Receipts (ADR) listing.
Speaking at the annual shareholders’ meeting in Icheon, Gyeonggi Province, on Wednesday, Kwak emphasized the need for enhanced financial robustness. He stated that to remain competitive with global industry leaders and support growing structural demand, it must strengthen the financial position. The goal is to secure over 100 trillion KRW (approximately 66 billion USD) in net cash, ensuring our ability to make strategic, long-term investments regardless of market conditions.
Kwak underscored the critical importance of substantial funding to meet the skyrocketing demand for AI infrastructure. The company plans to allocate these funds towards developing next-generation facilities, including the Yongin semiconductor cluster, an advanced packaging production hub in Indiana, and a state-of-the-art packaging plant in Cheongju. Additionally, the funds will support investments in global AI enterprises.
Detailing the company’s strategy for enhancing corporate value, Kwak revealed that it submitted a confidential application for ADR listing to the SEC on Tuesday. This move is aimed at ensuring the company receives fair valuation in the world’s largest stock market, the U.S.
SK Hynix’s financial performance has been impressive, with the company reporting record-breaking consolidated revenue of 97 trillion KRW (about 64 billion USD) and operating profit of 47 trillion KRW (about 31 billion USD) last year. This marks the second consecutive year of record-setting results. Notably, sales of high-bandwidth memory (HBM), a crucial component for AI applications, more than doubled year-over-year, capturing a dominant 64% market share and solidifying SK Hynix’s industry leadership.
This robust performance has significantly improved the company’s financial health. The debt-to-equity ratio, which stood at 64% in 2024, is projected to decrease to 46% by the end of 2025. Moreover, SK Hynix has transitioned to a net cash position of 12.7 trillion KRW (about 8.4 billion USD), further strengthening its financial stability.
Kwak also committed to expanding shareholder-friendly policies in line with the company’s strong performance. He stated that they’ve implemented a shareholder return program worth 14.3 trillion KRW (about 9.5 billion USD) based on the record-breaking results. This year, it will continue to closely monitor its cash flow and aim to increase returns to the shareholders.