Micron posted record revenue, again, as data centers fuel a memory chip shortage
Micron set another sales record in its latest quarter as the Boise-based company prepares to soon break ground on its first memory manufacturing plant in New York state.
The company reported all-time high revenue of $13.64 billion for its fiscal first quarter ended Nov. 27, compared with $11.32 billion for the prior quarter and $8.71 billion a year earlier. It posted a profit of $5.24 billion, or $4.60 a share, up from $3.20 billion, or $2.83 a share, the previous quarter.
“Micron is in the best competitive position in its history,” CEO Sanjay Mehrotra said in a conference call with analysts on Wednesday.
The record quarter, which exceeded even the high end of the company’s own projections, was spurred by overwhelming demand from artificial intelligence data centers. As supply has tightened, memory-chip prices have surged. Data centers need high-bandwidth memory chips, also called HBM, a type of dynamic random-access memory, or DRAM, and Micron says it has the best HBM products on the market.
Mehrotra said the company is doing everything it can to ramp up production. It expects to increase shipments of DRAM and NAND, a type of flash memory, by about a fifth in 2026.
“Despite significant efforts, we are disappointed to be unable to meet demand from our customers, across all market segments,” he said.
Micron said earlier this month that it plans to stop selling computer memory products directly to regular customers under its “Crucial” brand name in order to focus on selling more products to large companies in support of AI-driven data centers.
Early next year, the company expects to break ground on a so-called “mega fab” in upstate New York (fab is industry shorthand for semiconductor fabrication plant), which is projected to start production in 2030. It also plans to begin constructing a second fab at its headquarters campus in Southeast Boise in 2026. That fab is slated to be operational by 2028.
Mehrotra said the company is accelerating the timeline of its first Boise fab, well under construction off of Interstate 84, and expects it to start producing wafers in mid-2027. The memory-chip maker is among Idaho’s largest for-profit employers.
Micron stock closed at $225.52 on Wednesday. Shares of the company were up 7.3% in after-hours trading following the quarterly report.
