SK Hynix’s record profit misses forecasts; shares slump 10% despite robust AI chip demand
South Korean chipmaker SK Hynix reported bumper quarterly results on Wednesday but fell short of lofty investor expectations fuelled by the AI boom, with the company racing to secure long-term supply deals to cushion the memory industry’s volatile demand cycles. The Nvidia supplier’s quarterly operating profit soared more than sixfold to a record high, but it said delays in shipments of some advanced products limited price gains for its mainstay dynamic random access memory (DRAM) chips.
Shares in SK Hynix tumbled 10% as the weaker-than-expected earnings heightened investor concerns about the sustainability of aggressive AI spending by tech firms.
