An employee working at a semiconductor fab (factory) (Image courtesy of SK hynix)
SEOUL, July 24 (Korea Bizwire) — South Korean chipmaker SK hynix will pay all employees a productivity incentive (PI) bonus equivalent to 150% of their monthly base salary for the first half of 2025, the company announced Tuesday. The move reflects the firm’s exceptional financial performance, driven by its dominant position in the high-bandwidth memory (HBM) market.
The PI bonus—set to be paid on July 28—is one of SK hynix’s core performance-based compensation systems, alongside the annual profit-sharing (PS) bonus. PI payouts are based on operating profit margins, with the 150% level reserved for companies posting margins above 30%.
SK hynix reported ₩17.6 trillion ($12.6 billion) in revenue and ₩7.44 trillion ($5.3 billion) in operating profit in the first quarter of 2025, marking an operating margin of 42%. Market forecasts compiled by Yonhap Infomax project even stronger results for the second quarter, with estimated revenue of ₩20.6 trillion and operating profit of over ₩9 trillion, suggesting continued margin growth.
If second-quarter figures align with expectations, SK hynix’s first-half operating margin will exceed 40%, securing the highest possible PI payout tier. The strong performance, fueled by booming demand for next-generation memory such as HBM, has also raised expectations internally that year-end PS bonuses—capped at 50% of annual salary—may also reach their maximum level.
Brokerage analysts forecast SK hynix’s full-year operating profit to reach ₩37 trillion, surpassing its previous record of ₩23.5 trillion set in 2024 by more than ₩10 trillion.
SK hynix is set to release its official second-quarter earnings on July 24.
Kevin Lee (kevinlee@koreabizwire.com)
