Samsung Electronics to Launch KRW 90 Trillion Share Buyback for Stock-Based Bonuses; Shares Surge 9.35%

Samsung Electronics is set to initiate a share repurchase program valued at approximately KRW 90 trillion, according to a Yonhap News report on June 24. The move follows an agreement between management and the labor union to distribute special performance bonuses in the form of company shares. To facilitate this, Samsung must significantly increase its treasury stock. KB Securities forecasts the company's operating profit to reach KRW 37.5 trillion this year and KRW 54.8 trillion in 2025. Under the labor deal, 10.5% of the semiconductor division's operating profit—estimated at KRW 15.4 trillion over three years—will be allocated for bonuses. Following tax withholdings, approximately KRW 9.3 trillion in shares will be distributed. Goldman Sachs suggests cumulative profits could reach KRW 151.4 trillion, potentially expanding the buyback scale. Samsung shares surged 9.35% following the announcement.