Micron Beats Expectations, Eyes Healthier Market

Thursday, 21 Mar 2013 07:08 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
Micron Technology posted a quarterly net loss on Thursday but the chipmaker said the outlook for memory chip prices is improving.

Following an industry slump in memory chip prices last year, Micron President Mark Adams said on Thursday that prices for DRAM and NAND memory chips are rising.

"Both DRAM and NAND are in healthy positions. I would say DRAM is driven primarily by a better supply balance with the existing demand in the industry," Adams told Reuters. "NAND is more continued growth in the demand side of the equation."

Consumers' growing preference for smartphones and tablets instead of laptops have hurt personal computer manufacturers, which traditionally have been major buyers of DRAM chips made by Micron and rivals like Samsung Electronics.

In response, chipmakers have reconfigured some of their capacity to manufacture more specialized memory for smartphones and tablets.

Micron said it sold more DRAM chips in the fiscal second quarter than in the previous quarter, and that it also improved its gross margins thanks to lower manufacturing costs.

The company reported a net loss for the fiscal second quarter ended Feb. 28 of $286 million, or $0.28 per share.

It had a loss of $282 million, or $0.29 per share, a year earlier.

Revenue rose to $2.1 billion from $2.0 billion a year ago. Analysts on average expected quarterly revenue of $1.922 billion, according to Thomson Reuters I/B/E/S.

Shares of Micron rose 4.2 percent in extended trade after closing down 2.58 percent at $9.07.

© 2014 Thomson/Reuters. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
You May Also Like
Around the Web
Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved