SK Hynix Q2 operating profit of 6.05 trillion KRW misses expectations; forecasts 40 trillion KRW in capex for 2026.

Hwaseong Capital News: On July 29, SK Hynix’s earnings report revealed that HBM4 has already entered mass production and shipment in the second quarter, with plans to expand production and supply in the second half of the year. HBM4E samples were delivered in the first half of the year, utilizing the most advanced process technology. The company emphasized its commitment to maintaining its leading position in HBM through high quality, high yield, stable supply, cost competitiveness, and peak performance. It has already signed long-term chip supply agreements with ten customers to enhance visibility into medium- to long-term demand and mitigate price volatility, while evaluating additional shareholder return initiatives to strengthen the scale and sustainability of returns. Capital expenditures are expected to reach the upper end of the 40 trillion KRW range by 2026. DRAM shipments in the third quarter are projected to increase by approximately 10% quarter-over-quarter, while NAND shipments are expected to rise by a low single-digit percentage. As supply constraints ease and AI applications expand, growth momentum in smartphones and PCs is expected to gradually recover, though sales may be temporarily adjusted due to memory supply challenges. Improvements in AI model and software efficiency will broaden accessibility and drive infrastructure demand. DRAM market demand in 2026 is forecasted to grow year-over-year in the mid-20% to 30% range, while NAND demand is expected to grow at the upper end of the 10% to 20% range.