Micron Profits Surge on AI Memory Demand

The memory-chip maker reported a profit of $13.79 billion, or $12.07 per share, a substantial increase from $1.58 billion a year prior. Adjusted earnings per share reached $12.20, comfortably beating the $9.19 anticipated by FactSet.

Revenue nearly tripled to $23.86 billion, far exceeding the $19.97 billion forecast. CEO Sanjay Mehrotra highlighted memory's strategic importance in the AI era, affirming Micron's investment in global manufacturing to meet escalating demand.

Further demonstrating confidence, Micron raised its quarterly dividend by 30% to 15 cents per share. The company's outlook for the third quarter is equally strong, projecting revenue of $33.5 billion at the midpoint, significantly above the $24.29 billion Wall Street estimate, with adjusted EPS expected at $19.15, well above the $12.03 consensus.

This performance underscores Micron's pivotal role in the AI boom and its ability to capitalize on the current market dynamics.