Micron Technology, a global leader in memory and storage solutions, has set its sights on achieving revenue of $6.60 billion during the third quarter of fiscal 2024.
This announcement comes on the heels of the company’s strong performance in the second quarter of fiscal 2024, where it reported revenue of $5.82 billion, marking a significant increase from both the prior quarter’s $4.73 billion and the $3.69 billion reported for the same period last year.
“Our 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,” Sanjay Mehrotra, President, and CEO of Micron Technology, in its earnings report, said.
Boise, Idaho-based Micron Technology has revealed that its investments in capital expenditures for the second quarter of fiscal 2024 totaled $1.25 billion, with plans for higher capital expenditures in fiscal Q3 compared to the preceding quarter. Micron maintains its full-year fiscal 2024 Capex plan within the range of $7.5 billion to $8.0 billion.
In terms of product performance, Micron’s DRAM revenue for fiscal Q2 stood at approximately $4.2 billion, representing 71 percent of total revenue. Sequentially, DRAM revenue saw a 21 percent increase, driven by modest single-digit percentage growth in bit shipments and a significant uptick in prices.
On the NAND front, fiscal Q2 revenue reached approximately $1.6 billion, constituting 27 percent of Micron’s total revenue. NAND revenue witnessed a sequential surge of 27 percent, propelled by price increases of over 30 percent, despite a slight decrease in bit shipments.
The Compute and Networking Business Unit recorded revenue of $2.2 billion, marking a 26 percent sequential increase, driven by robust growth in data center revenue and a doubling of cloud revenue.
Meanwhile, the Mobile Business Unit reported revenue of $1.6 billion, up 24 percent sequentially, with improved pricing compensating for an anticipated decline in volume.
The Embedded Business Unit saw revenue of $1.1 billion, up 7 percent sequentially, fueled by solid demand for leading-edge products in the industrial market segment.
Revenue for the Storage Business Unit surged to $905 million, up 39 percent sequentially, with strong double-digit growth across all end markets. Notably, data center SSD revenue more than doubled from the previous year, reflecting Micron’s gains in market share.
LEADERSHIP
Micron Technology continues to push the boundaries of innovation with its latest advancements in DRAM and NAND technology nodes. With a focus on enhancing performance, power efficiency, and overall capabilities, Micron is poised to maintain its technology leadership in the semiconductor industry.
A significant stride in Micron’s journey towards technological excellence is evident in the adoption of leading-edge 1α (1-alpha) and 1ß (1-beta) nodes for over three quarters of its DRAM bits. Additionally, more than 90 percent of Micron’s NAND bits are now on 176-layer and 232-layer nodes, underscoring the company’s commitment to driving forward the boundaries of memory and storage technology.
Micron’s dedication to innovation is exemplified by its utilization of extreme ultraviolet lithography (EUV) in production processes. Achieving equivalent yield and quality on both EUV and non-EUV flows for 1α and 1ß nodes demonstrates Micron’s commitment to technological excellence and manufacturing efficiency. The company’s pilot production of 1γ (1-gamma) DRAM using EUV is on track for volume production in calendar 2025, further solidifying Micron’s position at the forefront of technological innovation.
Micron drives innovation in memory and storage solutions tailored to meet the evolving needs of various industries. In the data center segment, Micron anticipates strong growth driven by increased demand for AI servers and traditional server applications.
Micron’s commitment to innovation extends beyond the data center, with significant advancements in the PC and mobile segments. The introduction of next-generation AI PCs, featuring Neural Processing Unit chipsets, and Micron’s mobile DRAM and NAND solutions, highlight its focus on delivering cutting-edge technology to consumers and businesses.
Baburajan Kizhakedath
