Revenue nearly quadruples as the global memory shortage and booming demand for high-bandwidth memory fuel record growth
Micron Technology (MU) reported better-than-expected fiscal fourth-quarter results Wednesday and issued strong guidance as surging artificial intelligence infrastructure spending continues to drive unprecedented demand for memory chips.
Micron posted adjusted earnings of $33.42 per share, topping the $31.61 expected by analysts surveyed by LSEG. Revenue reached $54.23 billion, ahead of the $51.07 billion consensus estimate and nearly four times the $11.32 billion generated a year earlier.
Net income surged to $37.7 billion, or $32.87 per share, compared with $3.2 billion, or $2.83 per share, in the year-ago period.
The company also delivered an upbeat outlook. For its fiscal first quarter, Micron expects approximately $61.5 billion in revenue and adjusted earnings of $38.15 per share. Wall Street had been expecting $57 billion in revenue and adjusted EPS of $35.40.
Micron continues to benefit from a worldwide memory shortage fueled by explosive demand for AI computing infrastructure. The company is the only U.S.-based manufacturer of high-bandwidth memory, or HBM, a critical component used alongside advanced processors from Nvidia and AMD to handle demanding AI workloads.
The strongest growth came from Micron’s data center business, where quarterly revenue increased elevenfold to $18 billion.
Micron shares have climbed more than 500% over the past year as investors price in rapidly expanding AI-related memory demand.
To address the supply shortage and capture future growth, Micron is investing $250 billion in manufacturing expansion, including new facilities in New York and Idaho.
Competition remains intense, with SK Hynix and Samsung also expanding HBM production. However, persistent supply constraints and growing memory requirements for increasingly powerful AI systems continue to provide a favorable backdrop for Micron’s business.
