South Korea's SK Hynix on Thursday posted a record quarterly profit as the Nvidia supplier saw strong sales of advanced chips such as high-bandwidth memory (HBM) used in generative artificial intelligence chipsets.

Shares of Micron (NASDAQ:MU) are down about 3.5% on the day. About This Article  Shares of Micron are down about $4.50 on the day thanks to Nvidia supplier, SK Hynix. Granted, SK Hynix did post a record quarterly profit.

Nvidia stock rose modestly early Friday as investors digested a raft of mixed news over the past few days. Shares were up 0.1% to $147.34 in premarket trading. It closed almost flat Thursday after starting the day in the red as a fresh outlook from supplier SK Hynix cast doubt over future demand for its products.

The result compared with an 8 trillion won average forecast by LSEG SmartEstimate, which is weighted toward analysts who are more consistently accurate. SK Hynix's quarterly opera

This year’s 30% AI-driven rally in shares of South Korea’s SK Hynix Inc. faces threats as political issues and valuations push local investors toward domestic-focused companies.Most Read from Bloomber

SK Hynix still finds strong demand for AI-related chips even with uncertainty ahead. However, experts caution that artificial intelligence expansion may slow down in 2025, hence lowering the difference between consumer-oriented and AI-oriented semiconductors.

The company’s Q4 revenue increased by 12%, and its operating profit rose by 15%, making for its best quarter ever, SK Hynix said in a statement. The company also announced that its revenue for the year was 66.1930 trillion won (roughly $46.13 billion). SK Hynix raised its annual fixed dividend for shareholders by 25%.

The South Korean memory-chip maker reported record quarterly and annual results after stronger-than-expected earnings for the final quarter of 2024 on robust chip demand.

Nvidia stock was sliding on Thursday as a business partner’s weak outlook took some of the shine off President Trump’s artificial intelligence announcements. Shares were down 1.8% to $144.50 in premarket trading.

SK hynix Inc. reported financial results for 2024, with revenues surging 102% to 66.19 trillion won ($46.34 billion), driven by explosive demand for artificial intelligence memory products.

Industry sources indicate that thermal issues associated with GB200 have prompted major clients including Microsoft, Amazon, Google, and Meta to reduce their orders, impacting not only Nvidia's product sales and revenue but also creating significant implications for its primary HBM supplier,