Micron Reports Record Q3 Earnings, Driven by AI-Fueled Memory Demand
Micron Technology announced its financial results for the third quarter of fiscal 2025, reporting record quarterly revenue of $9.3 billion. This result beat Wall Street expectations and represents a significant increase from $6.81 billion in the same period last year. Earnings per share reached $1.91, also ahead of estimates and up sharply from $0.62 a year ago.
The company attributed its strong performance to robust demand for memory chips used in artificial intelligence (AI) hardware, particularly in data centers. Sales of high-bandwidth memory (HBM), which is important for AI workloads, grew rapidly, and the Data Center segment more than doubled its revenue compared with last year.
Looking ahead, Micron projects fourth-quarter revenue of approximately $10.7 billion, again above analyst forecasts. The company expects continued growth as AI-driven demand for its memory solutions remains strong. While demand in traditional markets like PCs and smartphones remains subdued, Micron forecasts further expansion due to ongoing investments in AI technology.
Following the earnings announcement, Micron's stock initially rose as investors responded to the strong outlook and results.
Micron's growth was mainly due to strong demand for memory chips used in artificial intelligence, especially in data centers. Sales of high-bandwidth memory (HBM) surged and contributed to record revenue.
The rapid expansion of AI technology and increased investments in AI data centers are driving up demand for Micron's memory chips.
Yes, Micron forecasts further revenue growth in the coming quarter based on expected continued demand for AI-related memory solutions.
Micron's stock initially rose after the earnings report, as investors were encouraged by the strong financial results and optimistic outlook.
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