Samsung's returns conservatism is self-defeating
Samsung Electronics reported third-quarter revenue of 195.3 trillion won and operating profit of 107.4 trillion won, but reiterated its existing shareholder-return plans rather than outlining new details. Its shares fell more than 6% in Seoul trading.
1. Record quarterly results
Samsung Electronics reported revenue of 195.3 trillion won, up 127% from a year earlier, and operating profit of 107.4 trillion won, up 783%, for the quarter ended September 30. It said supply of its high-bandwidth memory, used in AI processors, was already sold out for 2027.
2. Returns plans in focus
Samsung reiterated plans for 30 trillion won in quarterly dividends and a full-year shareholder-return target of 90 trillion to 110 trillion won. The article contrasts this with SK Hynix's 100 trillion won return policy for the year, including more than 30 trillion won in cash dividends and share repurchases and cancellations of more than 60 trillion won.
3. Spending and next policy
Samsung said semiconductor capital spending will rise 62% this year to 76.8 trillion won. It has nearly $150 billion in net cash, and said it will announce its next shareholder-return policy and detailed plans for the rest of 2026 after a board meeting scheduled for January 2027.
