Summary
This is an update piece: at its October 28, 2026 earnings briefing, SK hynix disclosed LTAs with 14 major customers locking over 50% of 2027-2028 capacity; DRAM and HBM are effectively sold out through 2029, and memory supply tightness is expected to persist through 2030.
Background and Data Scope
This is an update (follow-up) to the SK hynix 3Q26 earnings piece: the earlier article covered the quarterly financials, while this one focuses on the long-term agreement (LTA), capacity sold-out and shareholder-return arrangements newly disclosed at the October 28 earnings briefing; financial figures are shown for reference only.
- Event: SK hynix's official 3Q26 earnings materials and briefing (2026-10-28) disclosed the LTA and capacity arrangements; the sold-out-through-2029 and tightness-to-2030 framing is per Chosun Biz / Cailianshe briefing transcript and Economist Korea.
- Sources: Primarily SK hynix official figures; media transcripts are supplementary corroboration.
- Scope: Figures are in Korean won; the locked-capacity ratio means signed LTA volume as a share of total capacity in the corresponding year.
Core Data Table
| model | Data and arrangement | Time basis | Source |
|---|---|---|---|
| LTA customer count | 14 major customers (including leading global cloud service providers) | as of the 3Q26 briefing | SK hynix official |
| Locked capacity share | Signed LTA volume covers over 50% of total capacity in 2027 and 2028; typical term 5 years; extensions under discussion with several customers | 2027–2028 | SK hynix official |
| DRAM/HBM sold-out horizon | Including demand under negotiation, DRAM and HBM capacity is effectively sold out for the next three years through 2029 | through 2029 | official + per Chosun Biz / Cailianshe transcript |
| Supply gap through | Memory demand exceeding supply expected to persist through 2030 | through 2030 | official (per Economist Korea) |
| 2026 total shareholder returns | about KRW 100 trillion | FY2026 | SK hynix official |
| of which cash dividends | KRW 30 trillion+ | FY2026 | SK hynix official |
| of which buyback-and-cancellation | KRW 60 trillion+ (including the KRW 40 trillion announced in August, completed last week) | FY2026 | SK hynix official |
| Q3 return resolution | cash dividend KRW 14 trillion + buyback KRW 20 trillion | 3Q26 | official (board resolution Oct 28) |
| Q3 dividend per share | KRW 20,000 (KRW 10,000 regular + KRW 10,000 special, sharing Kioxia investment gains) | 3Q26 | SK hynix official |
| HBM4 overtaking HBM3E | Q4 HBM4 shipments and revenue both exceed HBM3E, becoming the main product | 2026 Q4 | SK hynix official |
| M15X capacity | running at full capacity by year-end to expand HBM4 output | end-2026 | SK hynix official |
Additional Notes
- Capacity plan (SK hynix official): NAND 321-layer process to account for over half of domestic capacity in Q4; Yongin Phase 1 fully ramps next year with significantly higher investment.
- Financial base for reference (detailed in the earlier piece): Q3 revenue KRW 104.62 trillion (first quarter above 100 trillion), operating profit KRW 83.33 trillion at an 80% margin; period-end cash KRW 114.5 trillion, net cash KRW 98.7 trillion.