New Delhi [India], October 1 : Micron Technology expects its strong growth momentum to continue into fiscal 2027, expecting a first-quarter revenue of around USD 61.5 billion, after revenue from its Core Data Center Business Unit jumped more than 11-fold year-on-year to USD 18 billion in the fourth quarter.
The first-quarter revenue projection is about 13 per cent above the USD 54.23 billion recorded in the fourth quarter. Micron has also forecast a non-Generally Accepted Accounting Principles (non-GAAP) gross margin of approximately 86.25 per cent and non-GAAP diluted earnings per share of USD 38.15, plus or minus USD 1.
The Core Data Center Business Unit reported revenue of USD 18.002 billion in the fourth quarter, compared with USD 11.524 billion in the previous quarter and USD 1.577 billion in the year-ago quarter. Its gross margin rose to 90 per cent from 41 per cent a year earlier, while operating margin increased to 85 per cent from 25 per cent.
Micron's Cloud Memory Business Unit also recorded strong growth, with revenue rising to USD 16.283 billion from USD 4.543 billion a year earlier. Its operating margin stood at 76 per cent, compared with 48 per cent in the year-ago quarter.
Overall, Micron reported record fourth-quarter revenue of USD 54.23 billion, up from USD 11.32 billion a year earlier. GAAP net income rose to USD 37.70 billion from USD 3.20 billion, while diluted earnings per share increased to USD 32.87 from USD 2.83.
“Micron delivered record fiscal 2026 results, and we expect an even stronger fiscal 2027,” Chairman and CEO Sanjay Mehrotra said.
He further added that, “AI is becoming Super Intelligence (SI), and memory enhances this intelligence and the competitiveness of our customers’ platforms. We are increasing our investments in technology, products and manufacturing to help drive SI forward with our customers, and our Strategic Customer Agreements provide added confidence in the durability of Micron’s financial performance.”
For fiscal 2026, Micron's revenue rose to USD 133.19 billion from USD 37.38 billion, while GAAP net income reached USD 84.97 billion. Operating cash flow increased to USD 89.68 billion from USD 17.53 billion.
The company also said its server LPDDR SOCAMM portfolio revenue more than doubled sequentially in the fourth quarter and that it had begun shipping high-performance PCIe Gen 5 and Gen 6 SSDs to customers for KV-cache applications.