Semiconductor company Micron Technology (MU) has reported strong fourth-quarter 2025 financial results as its revenue nearly tripled from a year earlier.
Micron, which specializes in computer memory chips and data storage, announced earnings per share (EPS) of $12.20 U.S., which surpassed the $9.31 U.S. expected on Wall Street.
Revenue of $23.86 billion U.S. blew past the $20.07 billion U.S. consensus forecast of analysts. Sales were up 196% from a year earlier.
Micron is benefiting from rising demand for Nvidia’s (NVDA) graphics processing units (GPUs) that run generative artificial intelligence (A.I.) models.
Each generation of Nvidia microchips packs in more memory, creating a supply crunch and increasing demand for Micron’s products.
In terms of guidance, Micron executives said that they expect $33.50 billion U.S. in revenue for the current quarter, implying year-over-year growth of 200%.
Earnings per share are forecast at $19.15 U.S., Micron said.
Analysts had $12.05 U.S. in earnings per share and revenue of $24.30 billion U.S. penciled in for the company.
Management said that A.I. and conventional servers are facing a lack of adequate memory products that have long been used in data centres and electronic devices.
To help meet demand and alleviate the shortage, Micron is raising its capital expenditures this year, with construction-related costs rising by more than $10 billion U.S.
Micron is in the process of constructing two fabrication plants in Idaho and New York State that will increase its memory manufacturing capacity in the U.S.
Micron broke ground in January on a massive $100 billion U.S. New York campus and expects that site to be operational by the second half of 2028.
MU stock has surged 352% over the last 12 months to trade at $461.73 U.S. per share.
