SK Hynix just delivered a knockout punch to earnings expectations, posting record quarterly revenue of $23 billion and nearly doubling operating profit as the AI memory gold rush continues. The South Korean chipmaker's 66% revenue surge and 137% profit jump signal that the shortage of high-bandwidth memory chips powering AI data centers isn't easing anytime soon - and it's creating a windfall for suppliers who can deliver.
SK Hynix just proved that being the picks-and-shovels supplier in the AI gold rush pays off spectacularly. The South Korean memory chipmaker posted revenue of 32.827 trillion won ($23 billion) for Q4, sailing past analyst expectations of 32.132 trillion won, while operating profit hit 19.17 trillion won - crushing the 17.729 trillion won consensus, according to LSEG SmartEstimates.
The numbers tell the story of an industry transformed by AI. Revenue jumped 66% compared to the same quarter last year, while operating profit exploded 137% over the same period. That's the kind of growth that makes investors sit up and take notice - and it's directly tied to SK Hynix's position as a leading supplier of high-bandwidth memory chips that power AI data centers.
HBM - short for high-bandwidth memory - has become the most sought-after commodity in tech. These specialized chips sit next to AI processors in data center servers, feeding them data fast enough to keep pace with demanding AI workloads. SK Hynix said in its earnings report that "HBM revenue more than doubled year-on-year, making a significant contribution to the company's record performance."
The timing couldn't be better. Demand for HBM has completely outstripped what memory makers can supply, creating a domino effect across the entire memory market. Manufacturers are redirecting production capacity toward higher-margin HBM chips, triggering shortages of conventional memory used in consumer electronics and electric vehicles. It's a seller's market, and memory prices have been climbing as a result.
