Micron Posts Surprise 2Q Profit as Recovery Continues

By Ben Glickman

Micron posted a fiscal second quarter profit as the company benefited from a faster-than-expected recovery in the memory-chip market.

The Boise, Idaho-based memory-chip maker reported a profit of $793 million, or 71 cents a share, in the quarter ended Feb. 29, compared with a loss of $2.31 billion, or $2.12 a share, a year earlier. Analysts polled by FactSet expected a per-share loss of 41 cents.

Stripping out certain one-time items, the company posted an adjusted per-share profit of 42 cents, compared with a loss of 25 cents forecast by analysts, according to FactSet.

Revenue rose 58% to $5.82 billion, beating the $5.35 billion expected by analysts polled by FactSet.

Chief Executive Sanjay Mehrotra said the company's execution on pricing, products and operations were responsible for the results.

Mehrotra said he believes Micron is on of the companies in the chip industry that will benefit most from artificial intelligence.

Micron forecast fiscal third-quarter revenue of $6.4 billion to $6.8 billion, compared with the $6 billion expected by analysts.

The company is expecting a per-share profit of 10 cents to 24 cents a share. Analysts polled by FactSet expect a profit of 5 cents a share.

Write to Ben Glickman at ben.glickman@wsj.com

(END) Dow Jones Newswires

March 20, 2024 16:29 ET (20:29 GMT)

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