Micron Technology, Inc. Reports Results for the First Quarter of Fiscal 2026

Rhea-AI Summary

Micron Technology (Nasdaq: MU) reported record fiscal Q1 2026 results for the quarter ended November 27, 2025: revenue $13.64B, GAAP net income $5.24B (GAAP diluted EPS $4.60), non‑GAAP net income $5.48B (non‑GAAP EPS $4.78), and operating cash flow $8.41B. Capital expenditures were $4.5B and adjusted free cash flow was $3.9B. Cash and marketable investments totaled $12.0B. The board declared a quarterly cash dividend of $0.115 per share, payable Jan 14, 2026 to holders of record Dec 29, 2025.

For FQ2‑26 Micron provided guidance of $18.70B ± $0.40B revenue, GAAP gross margin 67.0% ± 1.0% and GAAP diluted EPS $8.19 ± $0.20.

Positive

• Revenue $13.64B in FQ1-26
• Operating cash flow $8.41B in FQ1-26
• GAAP net income $5.24B (GAAP EPS $4.60) in FQ1-26
• Adjusted free cash flow $3.9B in FQ1-26
• FQ2-26 revenue guidance $18.70B ± $400M

Negative

• Capital expenditures $4.5B in FQ1-26

Key Figures

Q1 2026 Revenue $13.64 billion Fiscal Q1 2026; vs $11.32B prior quarter and $8.71B prior year

GAAP Net Income $5.24 billion Fiscal Q1 2026; $4.60 diluted EPS

Non-GAAP Net Income $5.48 billion Fiscal Q1 2026; $4.78 diluted EPS

Operating Cash Flow $8.41 billion Fiscal Q1 2026; vs $5.73B prior quarter and $3.24B prior year

Capex, net $4.5 billion Investments in capital expenditures, net, in Q1 2026

Adjusted Free Cash Flow $3.9 billion Fiscal Q1 2026; described as highest ever free cash flow

Cash & Investments $12.0 billion Cash, marketable investments, and restricted cash at Q1 2026 end

Q2 2026 Revenue Guide $18.70B ± $400M Fiscal Q2 2026 GAAP and non-GAAP revenue outlook

Market Reality Check

$225.71 Last Close

Volume Volume 21,975,714 is at 0.9x the 20-day average of 24,436,734 shares. normal

Technical Price at $232.51 is trading above the 200-day MA of $139.09 and 277.82% above the 52-week low, but 12.18% below the 52-week high.

Peers on Argus

While MU was down 2.1%, key peers like QCOM (-1.71%), ARM (-1.94%), INTC (-0.79%), TXN (-0.44%) and ADI (-0.91%) also traded lower, suggesting broader semiconductor softness rather than a MU‑only move.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 03	Business exit update	Neutral	-2.2%	Announced exit from Crucial consumer business to refocus on enterprise and AI.
Nov 19	Earnings call schedule	Neutral	-1.1%	Scheduled Q1 FY26 earnings conference call and outlined webcast details.
Nov 13	Product launch	Positive	-3.3%	Announced automotive UFS 4.1 samples targeting AI‑enabled vehicle applications.
Oct 30	Investor event timing	Neutral	-0.1%	Corrected start time for participation in an RBC technology conference.
Oct 30	Investor event notice	Neutral	-0.1%	Announced participation in an upcoming RBC Capital Markets investor conference.

Pattern Detected

Recent Micron news — including multiple strong earnings beats — has often been followed by short‑term share price declines, indicating a recurring divergence between positive fundamentals and immediate price reaction.

Recent Company History

Over the last several months, Micron’s news flow has centered on strong financial performance and strategic repositioning. The company reported record Q4 FY25 results on Sep 23, 2025 and robust Q3 and Q2 FY25 earnings with rising revenue and net income. It later announced an exit from the Crucial consumer business on Dec 3, 2025 to prioritize enterprise and AI data‑center demand. Several investor events and product announcements complemented this trajectory. Today’s Q1 FY26 record revenue and cash flow build directly on that earnings growth narrative.

Market Pulse Summary

The stock is up +7.7% following this news. A strong positive reaction aligns with Micron’s record Q1 FY26 performance, including revenue of $13.64 billion, GAAP net income of $5.24 billion, and operating cash flow of $8.41 billion. Historical earnings releases often featured robust metrics yet saw short-term weakness, so a decisive upside move here would mark a shift from that pattern. Investors may watch how sustained AI-driven demand, capex of $4.5 billion, and the guided Q2 revenue of $18.70B ± $400M influence longer-term trends.

Key Terms

gaap financial

"GAAP net income of $5.24 billion, or $4.60 per diluted share"

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

non-gaap financial

"Non-GAAP net income of $5.48 billion, or $4.78 per diluted share"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

operating cash flow financial

"Operating cash flow of $8.41 billion versus $5.73 billion"

Operating cash flow is the amount of money a company earns from its main business activities, like selling products or services. It shows how well the company can generate cash to pay bills, invest in growth, or return money to shareholders. This figure helps investors understand if the company’s core operations are healthy and sustainable.

free cash flow financial

"record fiscal Q1 results, including highest ever free cash flow"

Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.

capital expenditures financial

"investments in capital expenditures, net(2) were $4.5 billion"

Capital expenditures are the money a company spends to buy or improve big assets like buildings, equipment, or machines that will last a long time. These investments matter because they help the company grow and operate more efficiently, similar to how upgrading a home’s appliances or adding a new room can make it better and more valuable.

gross margin financial

"Gross margin | | 7,646 | | 5,054 | | 3,348"

Gross margin is the difference between how much money a company makes from selling its products and how much it costs to produce them, expressed as a percentage of sales. It shows how efficiently a company is turning sales into profit before other expenses like marketing or salaries. Higher gross margin means the company keeps more money from each sale, which is a good sign of financial health.

operating margin financial

"Operating margin | | 55 | % | | 48 | %"

Operating margin shows how much profit a company makes from its core business activities after paying for costs like wages and materials. It’s useful because it tells you how efficiently a company is running—higher margins mean it keeps more money from each dollar of sales, which can indicate better management or stronger products.

diluted earnings per share financial

"Diluted earnings per share | | 4.60 | | 2.83"

Diluted earnings per share is a measure of a company's profit allocated to each share of stock, taking into account all possible shares that could be created through stock options, convertible bonds, or other securities. It shows the lowest possible earnings per share if all these potential shares were issued, helping investors understand the worst-case scenario for their ownership. This figure matters because it provides a more conservative view of a company's profitability per share.

AI-generated analysis. Not financial advice.

AI demand acceleration and Micron execution drive record fiscal Q1 results, including highest ever free cash flow

BOISE, Idaho, Dec. 17, 2025 (GLOBE NEWSWIRE) -- Micron Technology, Inc. (Nasdaq: MU) today announced results for its first quarter of fiscal 2026, which ended November 27, 2025.

Fiscal Q1 2026 highlights

• Revenue of $13.64 billion versus $11.32 billion for the prior quarter and $8.71 billion for the same period last year
• GAAP net income of $5.24 billion, or $4.60 per diluted share
• Non-GAAP net income of $5.48 billion, or $4.78 per diluted share
• Operating cash flow of $8.41 billion versus $5.73 billion for the prior quarter and $3.24 billion for the same period last year

“In fiscal Q1, Micron delivered record revenue and significant margin expansion at the company level and also in each of our business units,” said Sanjay Mehrotra, Chairman, President and CEO of Micron Technology. “Our Q2 outlook reflects substantial records across revenue, gross margin, EPS and free cash flow, and we anticipate our business performance to continue strengthening through fiscal 2026. Micron’s technology leadership, differentiated product portfolio, and strong operational execution position us as an essential AI enabler, and we are investing to support our customers’ growing need for memory and storage.”

Quarterly Financial Results
(in millions, except per share amounts)	GAAP(1)										Non-GAAP(2)
	FQ1-26			FQ4-25			FQ1-25				FQ1-26			FQ4-25			FQ1-25
Revenue	$	13,643		$	11,315		$	8,709			$	13,643		$	11,315		$	8,709
Gross margin		7,646			5,054			3,348				7,753			5,169			3,441
Percent of revenue		56.0	%		44.7	%		38.4	%			56.8	%		45.7	%		39.5	%
Operating expenses		1,510			1,400			1,174				1,334			1,214			1,047
Operating income		6,136			3,654			2,174				6,419			3,955			2,394
Percent of revenue		45.0	%		32.3	%		25.0	%			47.0	%		35.0	%		27.5	%
Net income		5,240			3,201			1,870				5,482			3,469			2,037
Diluted earnings per share		4.60			2.83			1.67				4.78			3.03			1.79

For the first quarter of 2026, investments in capital expenditures, net⁽²⁾ were $4.5 billion and adjusted free cash flow⁽²⁾ was $3.9 billion. Micron ended the year with cash, marketable investments, and restricted cash of $12.0 billion. On December 17, 2025, Micron’s Board of Directors declared a quarterly dividend of $0.115 per share, payable in cash on January 14, 2026, to shareholders of record as of the close of business on December 29, 2025.

Quarterly Business Unit Financial Results
	FQ1-26			FQ4-25			FQ1-25
Cloud Memory Business Unit
Revenue	$	5,284		$	4,543		$	2,648
Gross margin		66	%		59	%		51	%
Operating margin		55	%		48	%		40	%
Core Data Center Business Unit
Revenue	$	2,379		$	1,577		$	2,292
Gross margin		51	%		41	%		50	%
Operating margin		37	%		25	%		38	%
Mobile and Client Business Unit
Revenue	$	4,255		$	3,760		$	2,608
Gross margin		54	%		36	%		27	%
Operating margin		47	%		29	%		15	%
Automotive and Embedded Business Unit
Revenue	$	1,720		$	1,434		$	1,158
Gross margin		45	%		31	%		20	%
Operating margin		36	%		20	%		7	%

Business Outlook

The following table presents Micron’s guidance for the second quarter of 2026:

FQ2-26	GAAP(1) Outlook	Non-GAAP(2) Outlook
Revenue	$18.70 billion ± $400 million	$18.70 billion ± $400 million
Gross margin	67.0% ± 1.0%	68.0% ± 1.0%
Operating expenses	$1.56 billion ± $20 million	$1.38 billion ± $20 million
Diluted earnings per share	$8.19 ± $0.20	$8.42 ± $0.20

Further information regarding Micron’s business outlook is included in the prepared remarks and slides, which have been posted at investors.micron.com.

Investor Webcast

Micron will host a conference call on Wednesday, December 17, 2025 at 2:30 p.m. Mountain Time to investors.micron.comdiscuss its first quarter financial results and provide forward-looking guidance for its second quarter. A live webcast of the call will be available online at investors.micron.com. A webcast replay will be available for one year after the call.

We encourage you to visit our website at micron.com throughout the quarter for the most current information on the company, including information on financial conferences that we may be attending. You can also follow us on LinkedIn, X (@MicronTech) and YouTube (@MicronTechnology).

About Micron Technology, Inc.

Micron Technology, Inc. is an industry leader in innovative memory and storage solutions transforming how the world uses information to enrich life for all. With a relentless focus on our customers, technology leadership, and manufacturing and operational excellence, Micron delivers a rich portfolio of high-performance DRAM, NAND, and NOR memory and storage products. Every day, the innovations that our people create fuel the data economy, enabling advances in artificial intelligence (AI) and compute-intensive applications that unleash opportunities — from the data center to the intelligent edge and across the client and mobile user experience. To learn more about Micron Technology, Inc. (Nasdaq: MU), visit micron.com.

© 2025 Micron Technology, Inc. All rights reserved. Micron, the Micron logo, and all other Micron trademarks are the property of Micron Technology, Inc. All other trademarks are the property of their respective owners.

Forward-Looking Statements

This press release contains forward-looking statements regarding our industry, our strategic position, and our financial and operating results, including our guidance for the second quarter of 2026. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially. Please refer to the documents we file with the Securities and Exchange Commission, including our most recent Form 10-K and Form 10-Q. These documents contain and identify important factors that could cause our actual results to differ materially from those contained in these forward-looking statements. These certain factors can be found at investors.micron.com/risk-factor. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. We are under no duty to update any of the forward-looking statements to conform these statements to actual results.

(1)

GAAP represents U.S. Generally Accepted Accounting Principles.

(2)

Non-GAAP represents GAAP excluding the impact of certain activities, which management excludes in analyzing our operating results and understanding trends in our earnings; adjusted free cash flow; investments in capital expenditures, net; and business outlook. Further information regarding Micron’s use of non-GAAP measures and reconciliations between GAAP and non-GAAP measures are included within this press release.

MICRON TECHNOLOGY, INC. CONSOLIDATED STATEMENTS OF OPERATIONS (In millions, except per share amounts) (Unaudited)
	1st Qtr.			4th Qtr.			1st Qtr.
	November 27, 2025			August 28, 2025			November 28, 2024
Revenue	$	13,643		$	11,315		$	8,709
Cost of goods sold		5,997			6,261			5,361
Gross margin		7,646			5,054			3,348
Research and development		1,171			1,047			888
Selling, general, and administrative		337			314			288
Other operating (income) expense, net		2			39			(2	)
Operating income		6,136			3,654			2,174
Interest income		139			146			107
Interest expense		(74	)		(124	)		(118	)
Other non-operating income (expense), net		(140	)		(45	)		(11	)
		6,061			3,631			2,152
Income tax (provision) benefit		(829	)		(429	)		(283	)
Equity in net income (loss) of equity method investees		8			(1	)		1
Net income	$	5,240		$	3,201		$	1,870
Earnings per share
Basic	$	4.66		$	2.86		$	1.68
Diluted		4.60			2.83			1.67
Number of shares used in per share calculations
Basic		1,125			1,120			1,111
Diluted		1,138			1,131			1,122

MICRON TECHNOLOGY, INC. CONSOLIDATED BALANCE SHEETS (In millions) (Unaudited)
As of	November 27, 2025			August 28, 2025
Assets
Cash and equivalents	$	9,731		$	9,642
Short-term investments		587			665
Receivables		10,184			9,265
Inventories		8,205			8,355
Other current assets		958			914
Total current assets		29,665			28,841
Long-term marketable investments		1,697			1,629
Property, plant, and equipment		48,477			46,590
Operating lease right-of-use assets		700			736
Intangible assets		465			453
Deferred tax assets		641			616
Goodwill		1,150			1,150
Other noncurrent assets		3,176			2,783
Total assets	$	85,971		$	82,798
Liabilities and equity
Accounts payable and accrued expenses	$	9,796		$	9,649
Current debt		569			560
Other current liabilities		1,695			1,245
Total current liabilities		12,060			11,454
Long-term debt		11,187			14,017
Noncurrent operating lease liabilities		669			701
Noncurrent unearned government incentives		1,148			1,018
Other noncurrent liabilities		2,101			1,443
Total liabilities		27,165			28,633
Commitments and contingencies
Shareholders’ equity
Common stock		127			127
Additional capital		13,610			13,339
Retained earnings		53,344			48,583
Treasury stock		(8,152	)		(7,852	)
Accumulated other comprehensive income (loss)		(123	)		(32	)
Total equity		58,806			54,165
Total liabilities and equity	$	85,971		$	82,798

MICRON TECHNOLOGY, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions) (Unaudited)
Three months ended	November 27, 2025			November 28, 2024
Cash flows from operating activities
Net income	$	5,240		$	1,870
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation expense and amortization of intangible assets		2,212			2,030
Stock-based compensation		290			220
Change in operating assets and liabilities:
Receivables		(871	)		(817	)
Inventories		150			170
Accounts payable and accrued expenses		156			(241	)
Other current liabilities		449			(161	)
Other noncurrent liabilities		547			132
Other		238			41
Net cash provided by operating activities		8,411			3,244
Cash flows from investing activities
Expenditures for property, plant, and equipment		(5,389	)		(3,206	)
Purchases of available-for-sale securities		(255	)		(377	)
Proceeds from government incentives		878			65
Proceeds from maturities and sales of available-for-sale securities		268			428
Other		(96	)		(58	)
Net cash used for investing activities		(4,594	)		(3,148	)
Cash flows from financing activities
Repayments of debt		(2,943	)		(84	)
Repurchases of common stock - withholdings on employee equity awards		(367	)		(207	)
Repurchases of common stock - repurchase program		(300	)		—
Payments of dividends to shareholders		(134	)		(131	)
Other		(1	)		—
Net cash used for financing activities		(3,745	)		(422	)
Effect of changes in currency exchange rates on cash, cash equivalents, and restricted cash		14			(29	)
Net increase (decrease) in cash, cash equivalents, and restricted cash		86			(355	)
Cash, cash equivalents, and restricted cash at beginning of period		9,646			7,052
Cash, cash equivalents, and restricted cash at end of period	$	9,732		$	6,697

MICRON TECHNOLOGY, INC. RECONCILIATION OF GAAP TO NON-GAAP MEASURES (In millions, except per share amounts)
	1st Qtr.			4th Qtr.			1st Qtr.
	November 27, 2025			August 28, 2025			November 28, 2024
GAAP gross margin	$	7,646		$	5,054		$	3,348
Stock-based compensation		107			115			90
Other		—			—			3
Non-GAAP gross margin	$	7,753		$	5,169		$	3,441
GAAP operating expenses	$	1,510		$	1,400		$	1,174
Stock-based compensation		(173	)		(147	)		(127	)
Restructure and asset impairments		—			(38	)		—
Other		(3	)		(1	)		—
Non-GAAP operating expenses	$	1,334		$	1,214		$	1,047
GAAP operating income	$	6,136		$	3,654		$	2,174
Stock-based compensation		280			262			217
Restructure and asset impairments		—			38			—
Other		3			1			3
Non-GAAP operating income	$	6,419		$	3,955		$	2,394
GAAP net income	$	5,240		$	3,201		$	1,870
Stock-based compensation		280			262			217
Restructure and asset impairments		—			38			—
Loss on debt prepayments		130			9			—
Other		(20	)		1			—
Estimated tax effects of above and other tax adjustments		(148	)		(42	)		(50	)
Non-GAAP net income	$	5,482		$	3,469		$	2,037
GAAP weighted-average common shares outstanding - Diluted		1,138			1,131			1,122
Adjustment for stock-based compensation		10			14			16
Non-GAAP weighted-average common shares outstanding - Diluted		1,148			1,145			1,138
GAAP diluted earnings per share	$	4.60		$	2.83		$	1.67
Effects of the above adjustments		0.18			0.20			0.12
Non-GAAP diluted earnings per share	$	4.78		$	3.03		$	1.79

RECONCILIATION OF GAAP TO NON-GAAP MEASURES, Continued
	1st Qtr.			4th Qtr.			1st Qtr.
	November 27, 2025			August 28, 2025			November 28, 2024
GAAP net cash provided by operating activities	$	8,411		$	5,730		$	3,244
Expenditures for property, plant, and equipment		(5,389	)		(5,658	)		(3,206	)
Proceeds from sales of property, plant, and equipment		6			20			9
Proceeds from government incentives		878			711			65
Investments in capital expenditures, net		(4,505	)		(4,927	)		(3,132	)
Adjusted free cash flow	$	3,906		$	803		$	112

The tables above reconcile GAAP to non-GAAP measures of gross margin, operating expenses, operating income, net income, diluted shares, diluted earnings per share, and adjusted free cash flow. The non-GAAP adjustments above may or may not be infrequent or nonrecurring in nature, but are a result of periodic or non-core operating activities. We believe this non-GAAP information is helpful in understanding trends and in analyzing our operating results and earnings. We are providing this information to investors to assist in performing analysis of our operating results. When evaluating performance and making decisions on how to allocate our resources, management uses this non-GAAP information and believes investors should have access to similar data when making their investment decisions. We believe these non-GAAP financial measures increase transparency by providing investors with useful supplemental information about the financial performance of our business, enabling enhanced comparison of our operating results between periods and with peer companies. The presentation of these adjusted amounts varies from amounts presented in accordance with U.S. GAAP and therefore may not be comparable to amounts reported by other companies. Our management excludes the following items as applicable in analyzing our operating results and understanding trends in our earnings:

• Stock-based compensation;
• Gains and losses from debt prepayments;
• Restructure and asset impairments; and
• The estimated tax effects of above, non-cash changes in net deferred income taxes, assessments of tax exposures, certain tax matters related to prior fiscal periods, and significant changes in tax law. The divergence between our GAAP and non-GAAP income tax (provision) benefit relates to the difference in our GAAP and non-GAAP estimated annual effective tax rates, which are computed separately.

Non-GAAP diluted shares are adjusted for the impact of additional shares resulting from the exclusion of stock-based compensation from non-GAAP income.

MICRON TECHNOLOGY, INC. RECONCILIATION OF GAAP TO NON-GAAP OUTLOOK
FQ2-26		GAAP Outlook		Adjustments					Non-GAAP Outlook
Revenue		$18.70 billion ± $400 million			—				$18.70 billion ± $400 million
Gross margin		67.0% ± 1.0%			1.0%		A		68.0% ± 1.0%
Operating expenses		$1.56 billion ± $20 million		$180 million			B		$1.38 billion ± $20 million
Diluted earnings per share(1)		$8.19 ± $0.20		$0.23			A, B, C		$8.42 ± $0.20

Non-GAAP Adjustments (in millions)
A	Stock-based compensation – cost of goods sold						$	125
B	Stock-based compensation – research and development							119
B	Stock-based compensation – sales, general, and administrative							61
C	Tax effects of the above items and other tax adjustments							(48	)
							$	257
(1)	GAAP earnings per share based on approximately 1.14 billion diluted shares and non-GAAP earnings per share based on approximately 1.15 billion diluted shares.

The tables above reconcile our GAAP to non-GAAP guidance based on the current outlook. The guidance does not incorporate the impact of any potential business combinations, divestitures, additional restructuring activities, balance sheet valuation adjustments, strategic investments, financing transactions, and other significant transactions. The timing and impact of such items are dependent on future events that may be uncertain or outside of our control.

Contacts:

Satya Kumar
Investor Relations
satyakumar@micron.com
(408) 450-6199

Mark Plungy
Media Relations
mplungy@micron.com
(408) 203-2910

FAQ

What were Micron (MU) fiscal Q1 2026 revenue and GAAP EPS on Dec 17, 2025?

Micron reported $13.64B revenue and GAAP diluted EPS of $4.60 for FQ1 2026.

How much operating cash flow did Micron (MU) generate in fiscal Q1 2026?

Micron reported $8.41B of operating cash flow in FQ1 2026.

What is Micron (MU) guidance for revenue and EPS for fiscal Q2 2026?

Micron guided FQ2‑26 revenue of $18.70B ± $400M and GAAP diluted EPS of $8.19 ± $0.20.

Did Micron (MU) declare a dividend and when will it be paid?

Yes. Micron declared a quarterly cash dividend of $0.115 per share, payable Jan 14, 2026 to holders of record Dec 29, 2025.

What were Micron's capital expenditures and adjusted free cash flow in FQ1 2026?

Capital expenditures were $4.5B and adjusted free cash flow was $3.9B in FQ1 2026.

How much cash and marketable investments did Micron (MU) hold at the end of FQ1 2026?

Micron ended FQ1 2026 with $12.0B of cash, marketable investments, and restricted cash.