MICRON TECHNOLOGY, INC. | ||
(Exact name of registrant as specified in its charter) |
Delaware | 1-10658 | 75-1618004 | ||||||||||||
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
8000 South Federal Way | ||
Boise, Idaho 83716-9632 | ||
(Address of principal executive offices and Zip Code) |
(208) 368-4000 | ||
(Registrant’s telephone number, including area code) |
Title of each class | Trading symbol | Name of each exchange on which registered | ||||||||||||
Common Stock, par value $0.10 per share | MU | Nasdaq Global Select Market |
Item 2.02. | Results of Operations and Financial Condition. |
Item 9.01. | Financial Statements and Exhibits. | ||||
(d) Exhibits. |
Exhibit No. | Description | |||||||
99.1 | ||||||||
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
MICRON TECHNOLOGY, INC. | |||||||||||
Date: | December 18, 2024 | By: | /s/ Mark Murphy | ||||||||
Name: | Mark Murphy | ||||||||||
Title: | Executive Vice President and Chief Financial Officer |
Contacts: | Satya Kumar |
Mark Plungy |
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Investor Relations | Media Relations | |||||||
satyakumar@micron.com |
mplungy@micron.com | |||||||
(408) 450-6199 |
(408) 203-2910 |
Quarterly Financial Results | |||||||||||||||||||||||
(in millions, except per share amounts) | GAAP(1) |
Non-GAAP(2) |
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FQ1-25 |
FQ4-24 |
FQ1-24 |
FQ1-25 |
FQ4-24 |
FQ1-24 |
||||||||||||||||||
Revenue | $ | 8,709 | $ | 7,750 | $ | 4,726 | $ | 8,709 | $ | 7,750 | $ | 4,726 | |||||||||||
Gross margin | 3,348 | 2,737 | (35) | 3,441 | 2,826 | 37 | |||||||||||||||||
percent of revenue | 38.4 | % | 35.3 | % | (0.7 | %) | 39.5 | % | 36.5 | % | 0.8 | % | |||||||||||
Operating expenses | 1,174 | 1,215 | 1,093 | 1,047 | 1,081 | 992 | |||||||||||||||||
Operating income (loss) | 2,174 | 1,522 | (1,128) | 2,394 | 1,745 | (955) | |||||||||||||||||
percent of revenue | 25.0 | % | 19.6 | % | (23.9 | %) | 27.5 | % | 22.5 | % | (20.2 | %) | |||||||||||
Net income (loss) | 1,870 | 887 | (1,234) | 2,037 | 1,342 | (1,048) | |||||||||||||||||
Diluted earnings (loss) per share | 1.67 | 0.79 | (1.12) | 1.79 | 1.18 | (0.95) |
FQ2-25 |
GAAP(1) Outlook |
Non-GAAP(2) Outlook |
||||||
Revenue |
$7.90 billion ± $200 million | $7.90 billion ± $200 million | ||||||
Gross margin |
37.5% ± 1.0% | 38.5% ± 1.0% | ||||||
Operating expenses |
$1.24 billion ± $15 million | $1.10 billion ± $15 million | ||||||
Diluted earnings per share |
$1.26 ± $0.10 | $1.43 ± $0.10 |
1st Qtr. |
4th Qtr. |
1st Qtr. |
|||||||||
November 28, 2024 |
August 29, 2024 |
November 30, 2023 |
|||||||||
Revenue | $ | 8,709 | $ | 7,750 | $ | 4,726 | |||||
Cost of goods sold | 5,361 | 5,013 | 4,761 | ||||||||
Gross margin | 3,348 | 2,737 | (35) | ||||||||
Research and development | 888 | 903 | 845 | ||||||||
Selling, general, and administrative | 288 | 295 | 263 | ||||||||
Other operating (income) expense, net | (2) | 17 | (15) | ||||||||
Operating income (loss) | 2,174 | 1,522 | (1,128) | ||||||||
Interest income | 107 | 131 | 132 | ||||||||
Interest expense | (118) | (136) | (132) | ||||||||
Other non-operating income (expense), net | (11) | (7) | (27) | ||||||||
2,152 | 1,510 | (1,155) | |||||||||
Income tax (provision) benefit | (283) | (623) | (73) | ||||||||
Equity in net income (loss) of equity method investees | 1 | — | (6) | ||||||||
Net income (loss) | $ | 1,870 | $ | 887 | $ | (1,234) | |||||
Earnings (loss) per share | |||||||||||
Basic | $ | 1.68 | $ | 0.80 | $ | (1.12) | |||||
Diluted | 1.67 | 0.79 | (1.12) | ||||||||
Number of shares used in per share calculations | |||||||||||
Basic | 1,111 | 1,108 | 1,100 | ||||||||
Diluted | 1,122 | 1,125 | 1,100 |
As of | November 28, 2024 |
August 29, 2024 |
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Assets | ||||||||
Cash and equivalents | $ | 6,693 | $ | 7,041 | ||||
Short-term investments | 895 | 1,065 | ||||||
Receivables | 7,423 | 6,615 | ||||||
Inventories | 8,705 | 8,875 | ||||||
Other current assets | 777 | 776 | ||||||
Total current assets | 24,493 | 24,372 | ||||||
Long-term marketable investments | 1,156 | 1,046 | ||||||
Property, plant, and equipment | 41,476 | 39,749 | ||||||
Operating lease right-of-use assets | 622 | 645 | ||||||
Intangible assets | 419 | 416 | ||||||
Deferred tax assets | 474 | 520 | ||||||
Goodwill | 1,150 | 1,150 | ||||||
Other noncurrent assets | 1,671 | 1,518 | ||||||
Total assets | $ | 71,461 | $ | 69,416 | ||||
Liabilities and equity | ||||||||
Accounts payable and accrued expenses | $ | 7,126 | $ | 7,299 | ||||
Current debt | 533 | 431 | ||||||
Other current liabilities | 1,356 | 1,518 | ||||||
Total current liabilities | 9,015 | 9,248 | ||||||
Long-term debt | 13,252 | 12,966 | ||||||
Noncurrent operating lease liabilities | 588 | 610 | ||||||
Noncurrent unearned government incentives | 570 | 550 | ||||||
Other noncurrent liabilities | 1,239 | 911 | ||||||
Total liabilities | 24,664 | 24,285 | ||||||
Commitments and contingencies | ||||||||
Shareholders’ equity | ||||||||
Common stock | 126 | 125 | ||||||
Additional capital | 12,317 | 12,115 | ||||||
Retained earnings | 42,427 | 40,877 | ||||||
Treasury stock | (7,852) | (7,852) | ||||||
Accumulated other comprehensive income (loss) | (221) | (134) | ||||||
Total equity | 46,797 | 45,131 | ||||||
Total liabilities and equity | $ | 71,461 | $ | 69,416 | ||||
Three months ended | November 28, 2024 |
November 30, 2023 |
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Cash flows from operating activities | ||||||||
Net income (loss) | $ | 1,870 | $ | (1,234) | ||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: |
||||||||
Depreciation expense and amortization of intangible assets | 2,030 | 1,915 | ||||||
Stock-based compensation |
220 | 188 | ||||||
Change in operating assets and liabilities: |
||||||||
Receivables | (817) | (501) | ||||||
Inventories | 170 | 111 | ||||||
Accounts payable and accrued expenses | (241) | 271 | ||||||
Other current liabilities |
(161) | 579 | ||||||
Other | 173 | 72 | ||||||
Net cash provided by operating activities | 3,244 | 1,401 | ||||||
Cash flows from investing activities | ||||||||
Expenditures for property, plant, and equipment | (3,206) | (1,796) | ||||||
Purchases of available-for-sale securities | (377) | (199) | ||||||
Proceeds from maturities and sales of available-for-sale securities |
428 | 374 | ||||||
Proceeds from government incentives | 65 | 85 | ||||||
Other | (58) | (22) | ||||||
Net cash provided by (used for) investing activities | (3,148) | (1,558) | ||||||
Cash flows from financing activities | ||||||||
Payments of dividends to shareholders | (131) | (129) | ||||||
Repayments of debt | (84) | (53) | ||||||
Payments on equipment purchase contracts | — | (56) | ||||||
Other | (207) | (114) | ||||||
Net cash provided by (used for) financing activities | (422) | (352) | ||||||
Effect of changes in currency exchange rates on cash, cash equivalents, and restricted cash |
(29) | (1) | ||||||
Net increase (decrease) in cash, cash equivalents, and restricted cash | (355) | (510) | ||||||
Cash, cash equivalents, and restricted cash at beginning of period | 7,052 | 8,656 | ||||||
Cash, cash equivalents, and restricted cash at end of period | $ | 6,697 | $ | 8,146 |
1st Qtr. | 4th Qtr. | 1st Qtr. | |||||||||
November 28, 2024 |
August 29, 2024 |
November 30, 2023 |
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GAAP gross margin | $ | 3,348 | $ | 2,737 | $ | (35) | |||||
Stock-based compensation | 90 | 85 | 67 | ||||||||
Other | 3 | 4 | 5 | ||||||||
Non-GAAP gross margin | $ | 3,441 | $ | 2,826 | $ | 37 | |||||
GAAP operating expenses | $ | 1,174 | $ | 1,215 | $ | 1,093 | |||||
Stock-based compensation | (127) | (128) | (115) | ||||||||
Other | — | (6) | 14 | ||||||||
Non-GAAP operating expenses | $ | 1,047 | $ | 1,081 | $ | 992 | |||||
GAAP operating income (loss) | $ | 2,174 | $ | 1,522 | $ | (1,128) | |||||
Stock-based compensation | 217 | 213 | 182 | ||||||||
Other | 3 | 10 | (9) | ||||||||
Non-GAAP operating income (loss) | $ | 2,394 | $ | 1,745 | $ | (955) | |||||
GAAP net income (loss) |
$ | 1,870 | $ | 887 | $ | (1,234) | |||||
Stock-based compensation | 217 | 213 | 182 | ||||||||
Other | — | 6 | (10) | ||||||||
Estimated tax effects of above and other tax adjustments |
(50) | 236 | 14 | ||||||||
Non-GAAP net income (loss) | $ | 2,037 | $ | 1,342 | $ | (1,048) | |||||
GAAP weighted-average common shares outstanding - Diluted |
1,122 | 1,125 | 1,100 | ||||||||
Adjustment for stock-based compensation |
16 | 12 | — | ||||||||
Non-GAAP weighted-average common shares outstanding - Diluted |
1,138 | 1,137 | 1,100 | ||||||||
GAAP diluted earnings (loss) per share |
$ | 1.67 | $ | 0.79 | $ | (1.12) | |||||
Effects of the above adjustments |
0.12 | 0.39 | 0.17 | ||||||||
Non-GAAP diluted earnings (loss) per share |
$ | 1.79 | $ | 1.18 | $ | (0.95) |
1st Qtr. | 4th Qtr. | 1st Qtr. | |||||||||
November 28, 2024 |
August 29, 2024 |
November 30, 2023 |
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GAAP net cash provided by operating activities |
$ | 3,244 | $ | 3,405 | $ | 1,401 | |||||
Expenditures for property, plant, and equipment |
(3,206) | (3,120) | (1,796) | ||||||||
Payments on equipment purchase contracts | — | (22) | (56) | ||||||||
Proceeds from sales of property, plant, and equipment | 9 | 12 | 33 | ||||||||
Proceeds from government incentives |
65 | 48 | 85 | ||||||||
Investments in capital expenditures, net | (3,132) | (3,082) | (1,734) | ||||||||
Adjusted free cash flow |
$ | 112 | $ | 323 | $ | (333) |
FQ2-25 |
GAAP Outlook | Adjustments | Non-GAAP Outlook | ||||||||||||||||||||
Revenue |
$7.90 billion ± $200 million |
— | $7.90 billion ± $200 million |
||||||||||||||||||||
Gross margin |
37.5% ± 1.0% |
1.0% |
A | 38.5% ± 1.0% |
|||||||||||||||||||
Operating expenses |
$1.24 billion ± $15 million |
$140 million |
B | $1.10 billion ± $15 million |
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Diluted earnings per share(1) |
$1.26 ± $0.10 |
$0.17 |
A, B, C | $1.43 ± $0.10 |
Non-GAAP Adjustments
(in millions)
|
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A |
Stock-based compensation – cost of goods sold |
$ | 78 | ||||||||||||||||||||
B |
Stock-based compensation – research and development |
85 | |||||||||||||||||||||
B |
Stock-based compensation – sales, general, and administrative |
55 | |||||||||||||||||||||
C |
Tax effects of the above items and other tax adjustments | (24) | |||||||||||||||||||||
$ | 194 |