Samsung, SK hynix shareholder return policies in focus ahead of Q3 earnings

Shareholder return policies of Samsung Electronics and SK hynix are gaining market attention ahead of their announcements for third-quarter earnings, as investors see them as a key way to address the mismatch between the chipmakers' record-breaking profits and their sluggish share prices. Samsung Electronics is set to announce its three-month financial results during its earnings call on Thursday, while SK hynix said it will announce its results on its earnings call on Wednesday. Earnings are expected to be exceptionally strong, as surging demand for memory chips and continued supply bottlenecks have driven up average selling prices across the memory chip market. In its earnings guidance released Oct. 8, Samsung Electronics estimated third-quarter revenue of 195 trillion won ($146.96 billion) and operating profit of 107.4 trillion won. If realized, the company will become the first Korean company to surpass 100 trillion won in quarterly operating profit. SK hynix is expected to post 98.23 trillion won in revenue and 76.96 trillion won in operating profit during the same period, according