SK hynix Inc. announced that it generated 9.4173 trillion won in social value last year. Based on the calculations of SK Group’s social-value tracking methods, SK hynix’s generation surged by 93% in 2021 from 4.8887 trillion won recorded in 2020. The company’s performance represents more than half of 18.4 trillion won that the entire SK Group generated in social value last year.
By category, indirect contribution to economy such as tax payments, employment, and dividends totaled 9.7201 trillion won, while environmental performance of business activity recorded a negative 952.7 billion won and social performance of business activity reached 649.9 billion won.
In particular, indirect contribution to economy increased by 81%, or 4.3465 trillion won, from a year ago, helped by the company’s all-time high revenues in 2021. Social performance of business activity also rose by 44%, or 198.5 billion won, on the back of efforts to vitalize the semiconductor ecosystem and expanded philanthropic contributions for the underprivileged. But with increased greenhouse gas emissions as a result of more production to meet stronger demand for semiconductor globally, the negative impact grew by 2%, or 15 billion won, in the area of the environmental performance of business activity.
Indirect contribution to economy increased across all categories of tax payments, employment, and dividends. Tax payments soared 160%, or 2.3633 trillion won, on year as the company reported stronger financial results. A rise in the number of employees and bigger compensation package also led to an increase of 56%, or 1.7245 trillion won, in the employment category. Dividends rose by 32%, or 258.6 billion won, as the company implemented a more aggressive shareholder return policy.
In the area of environment, the company reported a negative reading for a second straight year as more resources were consumed to produce more semiconductors, also resulting in a gain in greenhouse gas emission. More precisely, negative cost increased by 3%, or 24.2 billion won, from a year ago, in the area of resource consumption/environmental pollution. Such negative result was somewhat offset by an increase of 128%, or 9.1 billion won, in the product/services segment with development of low-power products.