Samsung Electronics announced a substantial shareholder return package, which is expected to total between 90 trillion won and 110 trillion won by 2026, marking the largest return ever by a Korean company. This announcement follows a similar move by SK Hynix, which recently revealed a 40 trillion won share buyback.
Samsung's stock has surged approximately 135% year-to-date, reflecting strong investor confidence. The company plans to distribute around 30 trillion won in cash dividends in the third quarter, with final details to be confirmed in a board meeting later in October.
Additionally, Samsung's shareholder return strategy includes a commitment to return 50% of free cash flow generated from 2024 to 2026, while maintaining annual regular dividends of 9.8 trillion won. This proactive approach is part of Samsung's efforts to enhance corporate value and compete effectively in the high-bandwidth memory chip sector, particularly for AI applications