Micron Technology (MU) Q4 2025 earnings summary

Executive summary

• Fiscal Q4 2025 revenue, gross margin, and EPS exceeded the high end of guidance, with record quarterly and annual results driven by strong pricing, broad end-market strength, and AI data center growth.

• Fiscal 2025 revenue grew nearly 50% year-over-year to $37.4 billion, with gross margin expanding by 17 percentage points to 41%.

• Data center business accounted for 56% of total revenue, with HBM, high-capacity DIMMs, and LP server DRAM revenue exceeding $10 billion, a five-fold increase year-over-year.

• AI adoption is accelerating demand and productivity, with significant internal productivity gains from AI use in design and manufacturing.

• Entering fiscal 2026 with strong momentum and a highly competitive product portfolio.

Financial highlights

• Fiscal Q4 revenue was $11.3 billion, up 22% sequentially and 46% year-over-year, setting a quarterly record.

• Fiscal 2025 EPS reached $8.29, a 538% increase year-over-year; Q4 non-GAAP EPS was $3.03, up 59% sequentially and 157% year-over-year.

• Fiscal Q4 DRAM revenue was $9 billion (79% of total), up 69% year-over-year and 27% sequentially; NAND revenue was $2.3 billion (20% of total), down 5% year-over-year.

• Fiscal Q4 gross margin was 45.7%, up 670 basis points sequentially; operating income reached $4 billion, with an operating margin of 35%.

• Operating cash flow for Q4 was $5.7 billion; free cash flow for the year was $3.7 billion.

Outlook and guidance

• Fiscal Q1 2026 guidance projects record revenue of $12.5 billion ±$300 million, gross margin of 51.5% ±100 basis points, opex of ~$1.34 billion, and record EPS of $3.75 ±$0.15.

• Fiscal 2026 CapEx expected to be higher than 2025’s $13.8 billion, driven by DRAM and HBM investments.

• Free cash flow projected to strengthen in fiscal Q1 and significantly increase year-over-year in fiscal 2026.

• Fiscal 2026 will be a 53-week year, impacting Q4 opex.

• Fiscal Q1 operating expenses projected at $1.34 billion, with a tax rate of around 16.5%.