Samsung Shareholder Returns Could Top 600 Trillion Won

Samsung Electronics could generate as much as 600 trillion won, or approximately $440.53 billion, in resources for shareholder returns over the next three years, according to an analysis by KB Securities. The outlook reflects expectations that a prolonged shortage of conventional DRAM, driven by surging demand for high-bandwidth memory (HBM), will significantly strengthen the company's cash-generating capacity.

In a report released on Oct. 1, KB Securities estimated that Samsung Electronics could generate 600 trillion won in shareholder-return resources over the next three years, more than four times the 140 trillion won estimated for the current three-year period. The projection assumes that the company will continue returning 50% of its free cash flow (FCF) to shareholders under its next three-year policy. The brokerage also estimated that Samsung could use substantial remaining funds under its current policy for cash dividends and share buybacks and cancellations in the second half of this year.