August 16, 2020

MICRON TECHNOLOGY, INC. REPORTS RESULTS FOR THE SECOND QUARTER OF FISCAL 2020

Strong execution drives profitability and 13th consecutive quarter of free cash flow

BOISE, Idaho, March 25, 2020 (GLOBE NEWSWIRE) – Micron Technology, Inc. (Nasdaq: MU) today announced results for its second quarter of fiscal 2020, which ended February 27, 2020.

Fiscal Q2 2020 highlights

  • Revenue of $4.80 billion versus $5.14 billion for the prior quarter and $5.84 billion for the same period last year

  • GAAP net income of $405 million, or $0.36 per diluted share

  • Non-GAAP net income of $517 million, or $0.45 per diluted share

  • Operating cash flow of $2.00 billion versus $2.01 billion for the prior quarter and $3.44 billion for the same period last year

“Micron delivered solid second quarter results and revenue at the high end of the guidance range, despite the unfolding COVID-19 pandemic,” said Micron Technology President and CEO Sanjay Mehrotra. “I am grateful to our team for the excellent business execution we have achieved during this unprecedented situation. Their resilience, together with Micron’s technology leadership, stronger product portfolio, and healthy balance sheet, give us confidence that we will emerge from this challenging time well-positioned to capture the robust long-term demand opportunities for memory and storage.”

Quarterly Financial Results

 

 

 

GAAP (1)

 

 

 

Non-GAAP (2)

 

(in millions, except per share amounts)

FQ2-20

FQ1-20

FQ2-19

 

FQ2-20

FQ1-20

FQ2-19

 

Revenue

 

$       4,797

 

$       5,144

 

$       5,835

 

 

$       4,797

 

$       5,144

 

$       5,835

Gross margin

1,355

1,366

2,864

 

1,398

1,405

2,928

percent of revenue

28.2 %

26.6 %

49.1 %

 

29.1 %

27.3 %

50.2 %

Operating expenses

915

848

907

 

856

811

818

Operating income

440

518

1,957

 

542

594

2,110

percent of revenue

9.2 %

10.1 %

33.5 %

 

11.3 %

11.5 %

36.2 %

Net income attributable to Micron

405

491

1,619

 

517

548

1,971

Diluted earnings per share

0.36

0.43

1.42

 

0.45

0.48

1.71

 

Investments in capital expenditures, net(2) were $1.94 billion for the second quarter of fiscal 2020, which resulted in adjusted free cash flows(2) of $63 million. Micron repurchased approximately 785,000 shares of its common stock for $44 million during the second quarter of fiscal 2020 and ended the quarter with cash, marketable investments, and restricted cash of $8.12 billion, for a net cash(2) position of $2.70 billion.

Business Outlook

The following table presents Micron’s guidance for the third quarter of fiscal 2020:

FQ3-20

 

GAAP (1) Outlook

 

Non-GAAP (2) Outlook

 

Revenue

 

$4.6 billion – $5.2 billion

 

$4.6 billion – $5.2 billion

Gross margin

30% ± 1.5%

31% ±1.5%

Operating expenses

$891 million ± $25 million

$825 million ± $25 million

Interest (income) expense, net

$38 million

$35 million

Diluted earnings per share

$0.41 ± $0.15

$0.55 ± $0.15