Micron Technology 2025 Q3 Earnings Beats Expectations with Net Income Surging 467.8%

Micron Technology (MU), ranking 94th by market capitalization, reported its fiscal 2025 Q3 earnings on June 25th, 2025. The company exceeded Wall Street expectations with record revenue of $9.30 billion and adjusted earnings per share of $1.91, surpassing analyst estimates. Micron's guidance for fiscal Q4 revenue is projected at $10.7 billion, plus or minus $300 million, indicating continued growth. The anticipated non-GAAP EPS is set at $2.50 per share, plus or minus $0.15, reflecting a significant rise compared to previous forecasts.

Revenue
The total revenue of Micron Technology increased by 36.6% to $9.30 billion in 2025 Q3, up from $6.81 billion in 2024 Q3.

Earnings/Net Income
Micron Technology's EPS rose 463.3% to $1.69 in 2025 Q3 from $0.30 in 2024 Q3, marking continued earnings growth. Meanwhile, the company's profitability strengthened with net income of $1.89 billion in 2025 Q3, marking 467.8% growth from $332 million in 2024 Q3. The EPS performance is notably strong given the previous year's figures.

Price Action
The stock price of Micron Technology has edged up 0.51% during the latest trading day, has climbed 5.74% during the most recent full trading week, and has surged 34.19% month-to-date.

Post-Earnings Price Action Review
The strategy of buying MU stocks when revenues beat expectations and holding for 30 days yielded a 96.92% return, slightly underperforming the benchmark by 1.09%. Despite facing substantial volatility with a maximum drawdown of -60.40% and a Sharpe ratio of 0.31, the strategy provided moderate returns especially considering the prevailing market conditions. The significant volatility highlights the risk associated with this approach, yet the overall performance remains commendable in light of the broader market trends.

CEO Commentary
Sanjay Mehrotra - CEO, President & Chairman: Micron's "strong competitive position and solid execution delivered record revenue in fiscal Q3" with "data center revenue more than doubled year-over-year." He noted significant growth drivers, including "nearly 50% sequential growth in HBM revenue" and a "robust demand environment" expected to continue. Mehrotra emphasized strategic priorities, stating Micron's reorganization aims to "capitalize on the tremendous AI growth opportunity ahead" and highlighted a planned $200 billion investment in the U.S. He expressed optimism, saying, "Micron is exceptionally well positioned to capitalize on this transformative era" with an anticipated "record revenue with solid profitability" in fiscal year '25.

Guidance
Micron Technology expects fiscal Q4 revenue to be $10.7 billion, plus or minus $300 million, with gross margin projected at 42%, plus or minus 100 basis points. Operating expenses are anticipated to be approximately $1.2 billion. The non-GAAP EPS guidance stands at $2.50 per share, plus or minus $0.15. The company foresees continued strong demand and improved pricing, driven by tight DRAM and reduced NAND inventories, resulting in a favorable market backdrop.

Additional News
Micron Technology recently announced a quarterly dividend of $0.115 per share, payable on July 22, 2025, to shareholders of record by July 7, 2025, demonstrating its commitment to returning value to shareholders. Furthermore, the company is making strides in its strategic investments, including a planned $200 billion investment in the United States to capitalize on the AI growth opportunity. In addition, Micron has begun shipping its next-generation high-bandwidth memory product, HBM4, designed for AI data centers, solidifying its position as a leader in innovative memory solutions.