SK hynix announced on Wednesday that it achieved record-high revenue and operating profit in the second quarter, driven by robust demand for high-bandwidth memory (HBM) chips and other memory products.

According to regulatory filings, net profit for the April-to-June period reached a record 93.92 trillion won (approximately $64.6 billion), soaring 1,242.5% compared to the same period last year. Operating profit surged 557.2% year-on-year to 60.54 trillion won. Revenue climbed 256.8% to 79.31 trillion won.

The company's second-quarter operating margin hit 76%, also an all-time high, surpassing the 75% margin recorded in the first quarter. This means that for every 10,000 won in sales, SK hynix generates about 7,600 won in operating profit—a level that is extremely rare in the manufacturing sector. This also marks the third consecutive quarter, dating back to the fourth quarter of 2025, that SK hynix's operating margin has exceeded that of TSMC. TSMC posted a second-quarter operating margin of 60.3%, leaving a gap of roughly 15 percentage points between the two companies.

SK hynix's strong performance is expected to ease investor concerns over a potential artificial intelligence (AI) bubble and fears that demand for AI chips may have peaked—worries that recently triggered a sharp decline in technology stocks. By developing advanced memory chips ahead of schedule, SK hynix has solidified its leadership in the HBM market and become a key supplier to Nvidia as AI demand surges.

According to data from market research firm Counterpoint Research, SK hynix held a 58% share of the global HBM market in the first quarter, cementing its leading supplier position. Its long-time rivals, Samsung Electronics and Micron Technology, each held a 21% market share.

The company's dominance in HBM enabled it to surpass Samsung Electronics in June, becoming the most valuable listed company in South Korea by market capitalization. As of the end of June, SK hynix's cash reserves had grown to approximately 88 trillion won, an increase of over 33 trillion won from 54.3 trillion won three months earlier. The company stated that it plans to use these funds to expand investments in key production facilities, including the Yongin semiconductor cluster south of Seoul, the Cheongju M15X wafer fab expansion project, and the construction of next-generation high-bandwidth memory (HBM) production capacity.