Micron reported fiscal fourth-quarter revenue of $54.23 billion, beating estimates of $51.07 billion, and guided first-quarter revenue well above Wall Street's forecasts. The memory maker's results and outlook point to demand for AI-grade chips still running ahead of supply.
Micron beat every headline estimate for its fiscal fourth quarter and then guided even higher for the current period. The company posted adjusted earnings per share of $33.42, against expectations of $31.61, while revenue almost quadrupled from $11.32 billion a year earlier.
Guidance lands well above consensus
For the fiscal first quarter, Micron guided revenue of about $61.5 billion and adjusted earnings per share of $38.15, versus analyst expectations of $35.40 in adjusted earnings on $57 billion in revenue. The range itself, $60 billion to $63 billion, implies sequential growth of more than 10% at the midpoint. One detail tempers the outlook: guided gross margin of about 86% sits below the 87% adjusted margin the company just reported.
Demand also broadened beyond core memory. Automotive and Embedded revenue reached about $6.8 billion, far above the $4.7 billion analysts expected, while Cloud Memory revenue of roughly $16.3 billion topped the $15.1 billion estimate.
HBM demand keeps pushing the ceiling higher
Micron is the only U.S.-based maker of high-bandwidth memory, the stacked DRAM chips that feed AI processors. Fourth-quarter DRAM revenue rose 343% from a year ago to $39.8 billion, representing 73% of total sales. CEO Sanjay Mehrotra said on the earnings call that Micron has a "strong roadmap for future HBM products" and is working with Nvidia on the industry's first custom HBM implementation, according to CNBC.
Net income climbed to $37.7 billion, or $32.87 per share, up from $3.2 billion a year earlier. The results follow a run in which quarterly revenue climbed from $9.30 billion a year ago to $41.46 billion in the fiscal third quarter, before crossing $50 billion in the quarter just reported.
Investment keeps scaling with demand
Micron holds the smallest HBM market share among the three leading producers, but its stock has still soared more than 500% in the past year, pushing its market capitalization above $1.2 trillion. The company is investing $250 billion to build two new campuses for HBM production, with its largest breaking ground in Clay, New York in January and a first new fab in Boise, Idaho due to come online next year.
Sources: Micron, Investinglive, Crypto Briefing
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