Key points
- SK Hynix (SKHY) reports second quarter earnings on July 29, and analysts think it will most likely be the best quarter the company has ever had.
- Profit is expected to rise almost six times higher than a year ago, with a profit margin near 76.5 percent, which would be a new company record.
- SK Hynix already set a record just three months ago, so this next report would be a bigger record on top of that one.
- The demand is coming from artificial intelligence, and it now reaches more than just one kind of memory chip.
SK Hynix (SKHY) reports its second quarter earnings on July 29 in Korea, the evening of July 28 in the United States, and it will most likely be the best quarter the company has ever had. It comes at a good time for the stock. Korean chip stocks had a strong day today, and SK Hynix rose almost 5 percent, one of the best performers on the Kospi.
A record quarter, and the next one will likely be bigger
Three months ago, SK Hynix had its best quarter ever. Revenue passed 50 trillion won ($34.2B USD) for the first time, and the profit margin reached 72 percent, also a record at the time. Now analysts expect the next quarter to beat that. The average estimate is for profit to rise almost six times higher than the same quarter last year, with a margin near 76.5 percent. If that holds, it would be the best quarter the company has ever reported, only three months after the last one.
Why memory chip demand keeps growing
The reason is artificial intelligence, but it is not just one kind of chip anymore. For a while, companies mostly wanted high-bandwidth memory (HBM), the chips that sit right next to AI processors. Now they need much more regular server memory too, along with storage chips, because the newest AI systems do more than answer a question. They plan and carry out tasks on their own, and that takes memory across many more parts of a data center, not just one.
Samsung wants a bigger share of this too
SK Hynix has led the memory chip business for AI so far, but Samsung is pushing hard to catch up. Samsung sent out samples of its newest memory chip technology in May. SK Hynix followed with its own samples about a month later, earlier than the company had originally planned. Neither company wants to be seen as behind on what comes next.
What comes next
The July 29 report will show whether the estimates were right, and whether SK Hynix gives any hint about how much further this demand can grow. My colleague David wrote about his own SK Hynix trade a few weeks ago, and he is not the only one paying attention to this report.
Sources
- Hankyung and jbnews (Korean language): SK Hynix's confirmed July 29 earnings date and second quarter profit estimate from Sangsangin Securities analyst Jung Min-kyoo
- SK Hynix's own reported results and Korean press coverage (imbc, greened): first quarter 2026 results
- The Elec and Financial News (Korean language): Samsung and SK Hynix HBM4E sample shipment timeline
- Related coverage: David Han on his own SK Hynix trade
This is general market commentary and opinion, not investment advice. Markets can go down as well as up, and you can lose money. Always do your own research and consider speaking with a licensed financial professional before making any investment decision.
