Shares of Micron popped more than 17% in extended trading on Wednesday after the company announced second-quarter fiscal 2024 results that beat analysts and offered rosy guidance. The company, which makes memory and storage for computers, said it has benefitted from the artificial intelligence boom.
March 20, 2024 at 4:07 PM EDT mall
Micron Technology, Inc. Reports Results for the Second Quarter of Fiscal 2024
AI demand and tight supply accelerate return to profitability
BOISE, Idaho, March 20, 2024 (GLOBE NEWSWIRE) -- Micron Technology, Inc. (Nasdaq: MU) today announced results for its second quarter of fiscal 2024, which ended February 29, 2024.
Fiscal Q2 2024 highlights
* Revenue of $5.82 billion versus $4.73 billion for the prior quarter and $3.69 billion for the same period last year
* GAAP net income of $793 million, or $0.71 per diluted share
* Non-GAAP net income of $476 million, or $0.42 per diluted share
* Operating cash flow of $1.22 billion versus $1.40 billion for the prior quarter and $343 million for the same period last year
“Micron delivered fiscal Q2 results with revenue, gross margin and EPS well above the high-end of our guidance range — a testament to our team’s excellent execution on pricing, products and operations,” said Sanjay Mehrotra, President and CEO of Micron Technology. “Our preeminent product portfolio positions us well to deliver a strong fiscal second half of 2024. We believe Micron is one of the biggest beneficiaries in the semiconductor industry of the multi-year opportunity enabled by AI.”
Quarterly Financial Results
(in millions, except per share amounts) GAAP(1) Non-GAAP(2)
FQ2-24 FQ1-24 FQ2-23 FQ2-24 FQ1-24 FQ2-23
Revenue $ 5,824 $ 4,726 $ 3,693 $ 5,824 $ 4,726 $ 3,693
Gross margin 1,079 (35 ) (1,206 ) 1,163 37 (1,161 )
percent of revenue 18.5 % (0.7 %) (32.7 %) 20.0 % 0.8 % (31.4 %)
Operating expenses 888 1,093 1,097 959 992 916
Operating income (loss) 191 (1,128 ) (2,303 ) 204 (955 ) (2,077 )
percent of revenue 3.3 % (23.9 %) (62.4 %) 3.5 % (20.2 %) (56.2 %)
Net income (loss) 793 (1,234 ) (2,312 ) 476 (1,048 ) (2,081 )
Diluted earnings (loss) per share 0.71 (1.12 ) (2.12 ) 0.42 (0.95 ) (1.91 )
Investments in capital expenditures, net(2) were $1.25 billion for the second quarter of 2024, which resulted in adjusted free cash flows(2) of negative $29 million. Micron ended the second quarter of 2024 with cash, marketable investments, and restricted cash of $9.72 billion. On March 20, 2024, Micron’s Board of Directors declared a quarterly dividend of $0.115 per share, payable in cash on April 16, 2024, to shareholders of record as of the close of business on April 1, 2024.
Business Outlook
The following table presents Micron’s guidance for the third quarter of 2024:
FQ3-24 GAAP(1) Outlook Non-GAAP(2) Outlook
Revenue $6.60 billion ± $200 million $6.60 billion ± $200 million
Gross margin 25.5% ± 1.5% 26.5% ± 1.5%
Operating expenses $1.11 billion ± $15 million $990 million ± $15 million
Diluted earnings per share $0.17 ± $0.07 $0.45 ± $0.07
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