World

Samsung Electroncis to announce more than $72bln shareholder return programme, media reports

Samsung will spend 50% of its free cash flow on the new programme

Samsung Electronics is set to announce a new shareholder return policy later this month worth more than 100 trillion won ($71.75 billion), media reported on Thursday, as the company plans to share record profits with shareholders amid an AI-driven chip supercycle.

The South Korean memory-chip maker will hold a board meeting at the end of August to approve a shareholder return plan that includes a special dividend, MoneyToday reported, citing unidentified people in the industry.

Samsung will spend 50% of its free cash flow on the new programme, the report said.

Local rival SK Hynix on Wednesday unveiled a 40 trillion won share buyback and cancellation plan, the largest shareholder return programme announced by a publicly listed South Korean company.

SK Hynix, the world’s second-largest memory-chip maker behind Samsung, also said it would allocate more than 50% of free cash flow generated between 2025 and 2027 to shareholder returns.

Samsung declined to comment on the reports.

© ZAWYA

GLOBAL BUSINESS AND FINANCE MAGAZINE

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