This year, the total amount of share buybacks by domestic listed companies approached 62 trillion won. Samsung Electronics and SK Hynix accounted for more than half of the total buyback amount. The increase in shareholder returns among major companies is attributed to the alignment of value enhancement policies and a revised corporate law that emphasizes share buybacks.
On October 14, corporate data research firm CEO Score reported that the total amount of share buybacks from 591 KOSPI and KOSDAQ listed companies that disclosed buyback information over the past three years reached 61.7522 trillion won from January to September this year. This marks a 156.3% increase compared to last year's total of 24.910 trillion won and a 389.8% increase compared to 2024.
Samsung Electronics led the way with 17.722 trillion won in share buybacks. Following a buyback plan announced at the end of 2024, the company continued its large-scale buybacks this year after spending 3.353 trillion won last year.
SK Hynix followed with 14.5503 trillion won. The company burned 15.3 million shares in February, supported by improved performance and increased cash flow. In August, it also announced a new buyback and cancellation plan worth approximately 40 trillion won.
The combined buyback amount for Samsung Electronics and SK Hynix this year is 31.6225 trillion won, accounting for 51.2% of the total buyback amount among all listed companies. The two leading semiconductor firms have driven the expansion of shareholder returns, benefiting from a boom in AI semiconductors that has enhanced their profits and cash generation capabilities.
Excluding these two companies, KB Financial had the largest buyback amount at 4.129 trillion won. It was followed by KT&G with 2.4586 trillion won, Samsung C&T with 1.9798 trillion won, Celltrion with 1.8646 trillion won, and Shinhan Financial Group with 1.6070 trillion won. The number of companies that have burned over 1 trillion won in buybacks has increased to 10 this year.
The revised corporate law, which took effect in March, has also influenced share buybacks. The law now mandates that companies must generally burn shares they acquire. This change has prompted companies like KB Financial and KT&G, which previously held large amounts of treasury stock, to proceed with buybacks. If the planned amounts that have not yet been executed are included, the total share buyback amount for this year is expected to exceed 120 trillion won.
* This article has been translated by AI.
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