Micron Posted A $54.23 Billion Quarter And Guided To $61.5 Billion For Next Quarter

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Micron Technology (NASDAQ:MU) reported revenue of $54.23 billion for its fiscal fourth quarter, which ended Sept. 3. The company’s own guidance for the fiscal first quarter of 2027, which is already underway, calls for even more: $61.5 billion, plus or minus $1.5 billion.

The sequential dollar step captures this business better than any other, showing how much new revenue Micron adds from one quarter to the next. It shows whether the memory upcycle is still speeding up or has started to level off at a high plateau.

A $12.77 Billion Quarterly Jump Built on Pricing

Revenue in the same quarter a year ago was $11.32 billion, so sales grew 379%. Revenue in the prior quarter was $41.46 billion, so Micron added $12.77 billion in a single quarter, a 31% sequential gain. Non-GAAP EPS came in at $33.42, and non-GAAP gross margin reached 87.0%.

Most of that gain came from higher prices, with volume playing a smaller role. DRAM prices rose in the high teens percentage range, while DRAM bit shipments grew only in the mid single digit percentage range. NAND prices climbed approximately 30%. Memory is a commodity business, and margins have collapsed in past cycles. An 87.0% non-GAAP gross margin reflects where the cycle stands today, and investors should not treat it as a permanent level.

Fiscal 2026 Revenue More Than Tripled, Funding Heavy Reinvestment

Fiscal 2026 revenue reached $133.19 billion, compared with $37.38 billion in fiscal 2025, an increase of 256%. Net capital spending amounted $27.37 billion. Management expects first-half fiscal 2027 capital expenditures of approximately $25 billion, with more planned for the second half. That money builds the clean-room capacity Micron needs to keep its position.

Company Guidance Points to a Smaller Quarterly Step

Analysts had expected fourth-quarter revenue of about $51.5 billion, and Micron beat that figure by roughly 5.3%. A beat that large shows Wall Street underestimated how quickly prices were rising. It tells investors nothing about how long those prices will hold.

The guidance midpoint implies a step of $7.27 billion, or about 13.4% growth. That is still a strong quarter, but it is smaller than the previous one. Management expects “a more moderate rate of price increases” and guides to non-GAAP EPS of $38.15, plus or minus $1. A result at the top of the range would mean the step is holding up. A result near the bottom would suggest pricing power is fading faster than the company expects.

Contracts provide a floor. Micron has signed 26 Strategic Customer Agreements (multi-year supply contracts), which cover over 35% of revenue through 2030. The company says “more than 75% of our output is already committed for 2027.”

Shares Trade Roughly 25% Below the June Record

Micron traded around $915.10 at the open on Wednesday, Oct. 21, compared with a record close of $1,213.56 set on June 25. That puts the stock about 21% below its high. Recent headlines tie the decline to a deepening AI stock sell-off and a broader memory-chip slump. The market appears to be pricing in a shrinking sequential step even before the next earnings report shows it.

What Has to Stay True

For Micron to deliver on its guidance, memory prices need to keep rising, even at a slower pace, while committed HBM and data center volumes ship as scheduled. The size of the quarter-to-quarter step, more than the 379% headline growth rate, will show whether this cycle still has room to run.

The HBM and data-center demand supporting that guidance is the same expansion driving the broader AI infrastructure trade (we featured seven suppliers riding it, from power to cooling to memory, in a free report here: 7 Stocks Powering the AI Boom).

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