Micron Technology reported fiscal fourth-quarter revenue of $54.23 billion for the period ended September 3, a 379% increase from $11.32 billion a year earlier. The result exceeded analyst expectations of approximately $51.07 billion by more than $3 billion.

Adjusted earnings reached $33.42 per share, surpassing forecasts near $31.61. Under standard accounting, net income totaled $37.70 billion, compared with $3.20 billion in the prior-year period. Adjusted gross margin climbed to 87%, ahead of estimates around 86.1% to 86.2%. The company retained 87 cents of every sales dollar after production costs, up from about 46 cents a year ago.

AI Data Center Demand Drives Results

Demand from artificial intelligence data centers lifted all of Micron’s business units. Core Data Center revenue rose to $18 billion from $1.58 billion, while Cloud Memory generated $16.28 billion. Micron is the only U.S.-based producer of high-bandwidth memory, a key component used by advanced processors for AI workloads. The global shortage of memory chips has supported higher pricing and limited availability for other applications such as laptops and game consoles.

For the full fiscal 2026 year, Micron recorded $133.19 billion in revenue. Customers deposited $12.75 billion under long-term supply contracts during the year, with most of the funds arriving in the final quarter.

Strong Guidance and Long-Term Contracts

For the fiscal first quarter of 2027, Micron projected revenue of $61.5 billion, plus or minus $1.5 billion, well above analyst estimates ranging from $56.8 billion to $57.02 billion. Adjusted earnings are expected at $38.15 per share, plus or minus $1.00. Adjusted gross margin is guided near 86.25% to 86.3%.

Chief Financial Officer Mark Murphy indicated that the upcoming quarter would mark the low point for fiscal 2027 gross margin, with sequential improvement expected thereafter. The company has signed 26 long-term agreements covering about $150 billion in orders. Management anticipates tighter supply-and-demand conditions in the memory market for 2027 and 2028 than in 2026, with no clear endpoint for a return to balance.

Micron plans capital spending of about $25 billion in the first half of fiscal 2027, with higher outlays in the second half. Most incremental investment will support construction of new wafer-fabrication plants. The company intends to invest $250 billion in two new high-bandwidth memory manufacturing campuses, with a Boise, Idaho, facility scheduled to begin operations next year and construction underway at a larger site in Clay, New York.

Market Reaction and Broader Context

Shares closed at $1,065.08 and traded near $1,068.90 after hours, up 0.36%. The stock has risen more than 500% over the past year. Investor Michael Burry recently disclosed put options on Micron. Management was scheduled to discuss the results on an earnings call at 4:30 p.m. Eastern Time on September 30.

The concentration of supply toward AI-related products continues to shape memory availability across the industry, supporting elevated pricing for Micron and peers including Samsung Electronics and SK Hynix.