Micron Technology 2025 Q4 Earnings Strong Performance as Net Income Surges 260%

Micron Technology (MU) delivered robust results in its fiscal 2025 Q4 earnings report, with revenue and net income significantly outpacing the prior year. The company exceeded expectations, driven by strong AI-related demand and favorable pricing dynamics. Micron also raised its guidance for fiscal 2026, reflecting confidence in continued market momentum and disciplined execution.

Revenue
Micron Technology’s total revenue for the fourth quarter of fiscal 2025 surged by 46.0% to $11.31 billion, compared to $7.75 billion in the same period of 2024. The Cloud Memory Business Unit led the performance with $4.54 billion in revenue, followed by the Mobile and Client Business Unit at $3.76 billion. The Core Data Center Business Unit contributed $1.58 billion, while the Automotive and Embedded Business Unit added $1.43 billion, rounding out the total revenue figure for the quarter.

Earnings/Net Income
Earnings per share (EPS) for Micron Technology jumped 257.5% year over year to $2.86 from $0.80, underscoring the company’s strong profitability. Net income also soared to $3.20 billion in 2025 Q4, reflecting a 260.9% increase from $887 million in the prior year, demonstrating significant earnings strength.

Price Action
Micron’s stock gained 0.44% on the latest trading day, advanced 4.78% over the previous full week, and climbed 43.72% month-to-date.

Post Earnings Price Action Review
Micron's stock saw substantial positive momentum following its earnings release, with investors reacting favorably to the company’s strong financial results and forward-looking guidance. The 43.72% month-to-date gain highlights the market’s confidence in Micron’s ability to capitalize on AI-driven demand and its disciplined approach to cost and margin expansion. The company's robust gross margins and clear revenue growth trajectory have reinforced a bullish outlook among shareholders.

CEO Commentary
Sanjay Mehrotra, CEO, highlighted Micron’s strong fiscal 2025 performance, with revenue growing nearly 50% to $37.4 billion and gross margins expanding by 17 percentage points to 41%, driven by AI adoption, pricing strength, and product mix. He emphasized leadership in advanced technologies like HBM, 1-gamma DRAM, and G9 NAND, which position Micron for superior ROI. AI is a key enabler, boosting productivity by up to 40% in select areas and accelerating design and manufacturing. Mehrotra expressed optimism about fiscal 2026, citing robust data center demand, tight DRAM supply, and ongoing technology transitions, and underscored Micron’s commitment to disciplined execution and ROI-focused investments.

Guidance
Micron guided to Q1 fiscal 2026 revenue of $12.5 billion (±$300 million), gross margin of 51.5% (±100 bps), and EPS of $3.75 (±$0.15), driven by higher DRAM mix, pricing, and cost discipline. CapEx for fiscal 2026 is expected to exceed $13.8 billion, with Q1 CapEx at approximately $4.5 billion. The company anticipates continued supply tightness in DRAM and improving NAND conditions, along with strong data center demand and AI-driven growth.

Additional News
Micron Technology, Inc. announced record fiscal Q4 and full-year revenue, driven by AI data center growth. The company forecasts $1.2 billion in sequential revenue growth for the upcoming quarter, with gross margins expected to exceed 50%. Based in Boise, Idaho, Micron remains focused on capitalizing on the AI-driven transformation across its key markets. While no major mergers or acquisitions were announced recently, the company continues to prioritize R&D and operational efficiency to support long-term growth. Additionally, no significant executive changes or dividend-related announcements were made in the past three weeks, with the focus remaining on strategic expansion and product innovation.