Micron Technology Reports Higher 4Q Profit, Sales Amid Pandemic -- Earnings Review

 By Maria Armental 
 

Micron Technology Inc., one of the world's largest memory-chip makers, reported higher fourth-quarter financial results helped by strong DRAM sales in cloud, PC and gaming consoles amid the coronavirus pandemic. Here's what you need to know.

PROFIT: Net income for the quarter rose to $988 million, or 87 cents a share, from $561 million, or 49 cents a share, a year earlier. On an adjusted basis, profit rose to $1.08 a share from 56 cents a share a year earlier. The company had projected 88 cents a share, or $1.05 a share on an adjusted basis, plus or minus 10 cents. Analysts surveyed by FactSet projected 88 cents a share, or 98 cents a share as adjusted.

REVENUE: Revenue rose to $6.06 billion from $4.87 billion a year earlier. Micron projected $5.75 billion to $6.25 billion in revenue, while analysts expected $5.89 billion.

YEAR: Micron ended the year at a profit of $2.69 billion on $21.44 billion in revenue, compared with a profit of $6.31 billion and $23.41 billion in revenue a year earlier.

OUTLOOK: This quarter, Micron expects a profit of about 39 cents a share, plus or minus 7 cents, or 47 cents a share on an adjusted basis, also plus or minus 7 cents. It projected $5 billion to $5.4 billion in revenue. Analysts expected 61 cents a share, or 66 cents a share on an adjusted basis, on $5.27 billion in revenue.

PANDEMIC: Chief Executive Sanjay Mehrotra in a statement pointed to strong DRAM sales in cloud, PC and gaming consoles and an increase in QLC NAND shipments for the quarter that ended on Sept. 3. The CEO said the company expected business conditions to improve in 2021, driven by 5G, cloud and automotive growth.

Write to Maria Armental at [e-mail]

(END) Dow Jones Newswires

September 29, 2020 16:49 ET (20:49 GMT)

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