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Micron Technology, Inc. Reports Results for the Third Quarter of Fiscal 2025

1. MU reported record revenue of $9.30 billion in fiscal Q3 2025. 2. Q4 revenue is projected to grow another 15%, indicating strong demand. 3. Net income increased significantly to $1.89 billion year-over-year. 4. Operating cash flow rose to $4.61 billion, reflecting solid financial health. 5. Quarterly dividend of $0.115 per share declared, enhancing shareholder returns.

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Why Very Bullish?

The strong quarterly earnings and optimistic outlook are likely to drive stock price higher. Historical trends show positive stock movements after similar strong earnings reports.

How important is it?

Given the record revenue and projected growth, investor sentiment is likely to shift positively, making this information highly relevant for MU's stock price.

Why Short Term?

Immediate growth projections for Q4 suggest potential short-term price gains, similar to past performances post-earnings announcements.

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Record revenue in fiscal Q3 with growth across end marketsFiscal Q4 revenue projected to grow another 15% sequentially BOISE, Idaho, June 25, 2025 (GLOBE NEWSWIRE) -- Micron Technology, Inc. (Nasdaq: MU) today announced results for its third quarter of fiscal 2025, which ended May 29, 2025. Fiscal Q3 2025 highlights Revenue of $9.30 billion versus $8.05 billion for the prior quarter and $6.81 billion for the same period last yearGAAP net income of $1.89 billion, or $1.68 per diluted shareNon-GAAP net income of $2.18 billion, or $1.91 per diluted shareOperating cash flow of $4.61 billion versus $3.94 billion for the prior quarter and $2.48 billion for the same period last year “Micron delivered record revenue in fiscal Q3, driven by all-time-high DRAM revenue including nearly 50% sequential growth in HBM revenue. Data center revenue more than doubled year-over-year and reached a quarterly record, and consumer-oriented end markets had strong sequential growth,” said Sanjay Mehrotra, Chairman, President and CEO of Micron Technology. “We are on track to deliver record revenue with solid profitability and free cash flow in fiscal 2025, while we make disciplined investments to build on our technology leadership and manufacturing excellence to satisfy growing AI-driven memory demand.” Quarterly Financial Results(in millions, except per share amounts)GAAP(1) Non-GAAP(2)FQ3-25FQ2-25FQ3-24 FQ3-25FQ2-25FQ3-24        Revenue$9,301 $8,053 $6,811  $9,301 $8,053 $6,811 Gross margin 3,508  2,963  1,832   3,623  3,053  1,917 percent of revenue 37.7% 36.8% 26.9%  39.0% 37.9% 28.1%Operating expenses 1,339  1,190  1,113   1,133  1,046  976 Operating income 2,169  1,773  719   2,490  2,007  941 percent of revenue 23.3% 22.0% 10.6%  26.8% 24.9% 13.8%Net income 1,885  1,583  332   2,181  1,783  702 Diluted earnings per share 1.68  1.41  0.30   1.91  1.56  0.62                      For the third quarter of 2025, investments in capital expenditures, net(2) were $2.66 billion and adjusted free cash flow(2) was $1.95 billion. Micron ended the quarter with cash, marketable investments, and restricted cash of $12.22 billion. On June 25, 2025, Micron’s Board of Directors declared a quarterly dividend of $0.115 per share, payable in cash on July 22, 2025, to shareholders of record as of the close of business on July 7, 2025. Business Outlook The following table presents Micron’s guidance for the fourth quarter of 2025: FQ4-25GAAP(1) OutlookNon-GAAP(2) OutlookRevenue$10.7 billion ± $300 million$10.7 billion ± $300 millionGross margin41.0% ± 1.0%42.0% ± 1.0%Operating expenses$1.35 billion ± $20 million$1.20 billion ± $20 millionDiluted earnings per share$2.29 ± $0.15$2.50 ± $0.15    Further information regarding Micron’s business outlook is included in the prepared remarks and slides, which have been posted at investors.micron.com. Investor Webcast Micron will host a conference call on Wednesday, June 25, 2025 at 2:30 p.m. Mountain Time to discuss its third quarter financial results and provide forward-looking guidance for its fourth quarter. A live webcast of the call will be available online at investors.micron.com. A webcast replay will be available for one year after the call. For Investor Relations and other company updates, follow us on X @MicronTech. About Micron Technology, Inc. We are an industry leader in innovative memory and storage solutions transforming how the world uses information to enrich life for all. With a relentless focus on our customers, technology leadership, manufacturing, and operational excellence, Micron delivers a rich portfolio of high-performance DRAM, NAND, and NOR memory and storage products through our Micron® and Crucial® brands. Every day, the innovations that our people create fuel the data economy, enabling advances in artificial intelligence (AI) and compute-intensive applications that unleash opportunities — from the data center to the intelligent edge and across the client and mobile user experience. To learn more about Micron Technology, Inc. (Nasdaq: MU), visit micron.com. © 2025 Micron Technology, Inc. All rights reserved. Micron, the Micron logo, and all other Micron trademarks are the property of Micron Technology, Inc. All other trademarks are the property of their respective owners. Forward-Looking Statements This press release contains forward-looking statements regarding our technologies, demand for our products, our investments, our industry and our financial and operating results, including our expectations and guidance for the fourth quarter of 2025 and full fiscal year. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially. Please refer to the documents we file with the Securities and Exchange Commission, including our most recent Form 10-K and our upcoming Form 10-Q. These documents contain and identify important factors that could cause our actual results to differ materially from those contained in these forward-looking statements. These certain factors can be found at investors.micron.com/risk-factor. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. We are under no duty to update any of the forward-looking statements to conform these statements to actual results. (1)GAAP represents U.S. Generally Accepted Accounting Principles.(2)Non-GAAP represents GAAP excluding the impact of certain activities, which management excludes in analyzing our operating results and understanding trends in our earnings, adjusted free cash flow, and business outlook. Further information regarding Micron’s use of non-GAAP measures and reconciliations between GAAP and non-GAAP measures are included within this press release.   MICRON TECHNOLOGY, INC.CONSOLIDATED STATEMENTS OF OPERATIONS(In millions, except per share amounts)(Unaudited)  3rd Qtr.2nd Qtr.3rd Qtr.Nine Months Ended May 29,2025February 27,2025May 30,2024May 29,2025May 30,2024      Revenue$9,301 $8,053 $6,811 $26,063 $17,361 Cost of goods sold 5,793  5,090  4,979  16,244  14,485 Gross margin 3,508  2,963  1,832  9,819  2,876       Research and development 965  898  850  2,751  2,527 Selling, general, and administrative 318  285  291  891  834 Other operating (income) expense, net 56  7  (28) 61  (267)Operating income (loss) 2,169  1,773  719  6,116  (218)      Interest income 135  108  136  350  398 Interest expense (123) (112) (150) (353) (426)Other non-operating income (expense), net (68) (11) 10  (90) (24)  2,113  1,758  715  6,023  (270)      Income tax (provision) benefit (235) (177) (377) (695) 172 Equity in net income (loss) of equity method investees 7  2  (6) 10  (11)Net income (loss)$1,885 $1,583 $332 $5,338 $(109)      Earnings (loss) per share     Basic$1.69 $1.42 $0.30 $4.79 $(0.10)Diluted 1.68  1.41  0.30  4.75  (0.10)      Number of shares used in per share calculations     Basic 1,118  1,115  1,107  1,114  1,104 Diluted 1,125  1,123  1,123  1,123  1,104  MICRON TECHNOLOGY, INC.CONSOLIDATED BALANCE SHEETS(In millions)(Unaudited) As ofMay 29,2025February 27,2025August 29,2024    Assets   Cash and cash equivalents$10,163 $7,552 $7,041 Short-term investments 648  663  1,065 Receivables 7,436  6,504  6,615 Inventories 8,727  9,007  8,875 Other current assets 945  963  776 Total current assets 27,919  24,689  24,372 Long-term marketable investments 1,402  1,375  1,046 Property, plant, and equipment 44,773  42,528  39,749 Operating lease right-of-use assets 628  637  645 Intangible assets 426  423  416 Deferred tax assets 483  552  520 Goodwill 1,150  1,150  1,150 Other noncurrent assets 1,616  1,699  1,518 Total assets$78,397 $73,053 $69,416     Liabilities and equity   Accounts payable and accrued expenses$8,761 $6,176 $7,299 Current debt 538  504  431 Other current liabilities 836  1,197  1,518 Total current liabilities 10,135  7,877  9,248 Long-term debt 15,003  13,851  12,966 Noncurrent operating lease liabilities 600  599  610 Noncurrent unearned government incentives 603  836  550 Other noncurrent liabilities 1,308  1,257  911 Total liabilities 27,649  24,420  24,285     Commitments and contingencies       Shareholders’ equity   Common stock 126  126  125 Additional capital 12,960  12,711  12,115 Retained earnings 45,559  43,839  40,877 Treasury stock (7,852) (7,852) (7,852)Accumulated other comprehensive income (loss) (45) (191) (134)Total equity 50,748  48,633  45,131 Total liabilities and equity$78,397 $73,053 $69,416  MICRON TECHNOLOGY, INC.CONSOLIDATED STATEMENTS OF CASH FLOWS(In millions)(Unaudited) Nine Months EndedMay 29,2025May 30,2024   Cash flows from operating activities  Net income (loss)$5,338 $(109)Adjustments to reconcile net income (loss) to net cash provided by operating activities:  Depreciation expense and amortization of intangible assets 6,203  5,794 Stock-based compensation 722  620 Change in operating assets and liabilities:  Receivables (123) (2,562)Inventories 148  (125)Other current assets (206) (435)Accounts payable and accrued expenses 38  846 Other current liabilities (681) 769 Other 356  304 Net cash provided by operating activities 11,795  5,102    Cash flows from investing activities  Expenditures for property, plant, and equipment (10,199) (5,266)Purchases of available-for-sale securities (1,203) (1,110)Proceeds from government incentives 1,294  267 Proceeds from maturities and sales of available-for-sale securities 1,249  1,433 Other (30) (35)Net cash used for investing activities (8,889) (4,711)   Cash flows from financing activities  Proceeds from issuance of debt 4,430  999 Repayments of debt (3,604) (1,816)Payments of dividends to shareholders (392) (384)Payments on equipment purchase contracts —  (127)Other (220) (40)Net cash provided by (used for) financing activities 214  (1,368)   Effect of changes in currency exchange rates on cash, cash equivalents, and restricted cash (3) (15)   Net increase (decrease) in cash, cash equivalents, and restricted cash 3,117  (992)Cash, cash equivalents, and restricted cash at beginning of period 7,052  8,656 Cash, cash equivalents, and restricted cash at end of period$10,169 $7,664  MICRON TECHNOLOGY, INC.RECONCILIATION OF GAAP TO NON-GAAP MEASURES(In millions, except per share amounts)  3rd Qtr.2nd Qtr.3rd Qtr. May 29,2025February 27,2025May 30,2024    GAAP gross margin$3,508 $2,963 $1,832 Stock-based compensation 115  89  80 Other —  1  5 Non-GAAP gross margin$3,623 $3,053 $1,917     GAAP operating expenses$1,339 $1,190 $1,113 Stock-based compensation (148) (144) (137)Patent license charges (57) —  — Other (1) —  — Non-GAAP operating expenses$1,133 $1,046 $976     GAAP operating income$2,169 $1,773 $719 Stock-based compensation 263  233  217 Patent license charges 57  —  — Other 1  1  5 Non-GAAP operating income$2,490 $2,007 $941     GAAP net income$1,885 $1,583 $332 Stock-based compensation 263  233  217 Patent license charges 57  —  — Loss on debt prepayments 46  4  — Other 1  —  3 Estimated tax effects of above and other tax adjustments (71) (37) 150 Non-GAAP net income$2,181 $1,783 $702     GAAP weighted-average common shares outstanding - Diluted 1,125  1,123  1,123 Adjustment for stock-based compensation 19  20  13 Non-GAAP weighted-average common shares outstanding - Diluted 1,144  1,143  1,136     GAAP diluted earnings per share$1.68 $1.41 $0.30 Effects of the above adjustments 0.23  0.15  0.32 Non-GAAP diluted earnings per share$1.91 $1.56 $0.62  RECONCILIATION OF GAAP TO NON-GAAP MEASURES, Continued  3rd Qtr.2nd Qtr.3rd Qtr. May 29,2025February 27,2025May 30,2024    GAAP net cash provided by operating activities$4,609 $3,942 $2,482     Expenditures for property, plant, and equipment (2,938) (4,055) (2,086)Payments on equipment purchase contracts —  —  (45)Proceeds from sales of property, plant, and equipment 12  7  41 Proceeds from government incentives 266  963  33 Investments in capital expenditures, net (2,660) (3,085) (2,057)Adjusted free cash flow$1,949 $857 $425   The tables above reconcile GAAP to non-GAAP measures of gross margin, operating expenses, operating income, net income, diluted shares, diluted earnings per share, and adjusted free cash flow. The non-GAAP adjustments above may or may not be infrequent or nonrecurring in nature but are a result of periodic or non-core operating activities. We believe this non-GAAP information is helpful in understanding trends and in analyzing our operating results and earnings. We are providing this information to investors to assist in performing analysis of our operating results. When evaluating performance and making decisions on how to allocate our resources, management uses this non-GAAP information and believes investors should have access to similar data when making their investment decisions. We believe these non-GAAP financial measures increase transparency by providing investors with useful supplemental information about the financial performance of our business, enabling enhanced comparison of our operating results between periods and with peer companies. The presentation of these adjusted amounts varies from amounts presented in accordance with U.S. GAAP and therefore may not be comparable to amounts reported by other companies. Our management excludes the following items as applicable in analyzing our operating results and understanding trends in our earnings: Stock-based compensation;Gains and losses from settlements;Gains and losses from debt prepayments;Restructure and asset impairments; andThe estimated tax effects of above, non-cash changes in net deferred income taxes, assessments of tax exposures, certain tax matters related to prior fiscal periods, and significant changes in tax law. The divergence between our GAAP and non-GAAP income tax provision relates to the difference in our GAAP and non-GAAP estimated annual effective tax rates, which are computed separately. Non-GAAP diluted shares are adjusted for the impact of additional shares resulting from the exclusion of stock-based compensation from non-GAAP income. MICRON TECHNOLOGY, INC.RECONCILIATION OF GAAP TO NON-GAAP OUTLOOK FQ4-25 GAAP Outlook Adjustments Non-GAAP Outlook        Revenue$10.7 billion ± $300 million —   $10.7 billion ± $300 millionGross margin41.0% ± 1.0% 1.0% A 42.0% ± 1.0%Operating expenses$1.35 billion ± $20 million $147 million B $1.20 billion ± $20 millionDiluted earnings per share(1)$2.29 ± $0.15 $0.21 A, B, C $2.50 ± $0.15 Non-GAAP Adjustments(in millions)              AStock-based compensation – cost of goods sold $119 BStock-based compensation – research and development  93 BStock-based compensation – sales, general, and administrative  54 CTax effects of the above items and other tax adjustments  (27)       $239  (1)GAAP earnings per share based on approximately 1.13 billion diluted shares and non-GAAP earnings per share based on approximately 1.15 billion diluted shares.   The tables above reconcile our GAAP to non-GAAP guidance based on the current outlook. The guidance does not incorporate the impact of any potential business combinations, divestitures, additional restructuring activities, balance sheet valuation adjustments, strategic investments, financing transactions, and other significant transactions. The timing and impact of such items are dependent on future events that may be uncertain or outside of our control.

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