Micron's $MU results are out. Here's a complete summary of the numbers, outlook, and the company's plans👇

✅Revenue $54.2B vs. expected $51.5B

✅EPS $33.42 vs. expected $31.82

✅Gross margin 87% vs. expected 86%

✅Net income $38.4B vs. expected $36.2B

Micron reported revenue of $54.2 billion for Q4 2026. For the full fiscal year 2025, it generated $37.4 billion. This quarter is thus 45% larger than the entire previous year, and net income for this fiscal year ($86.8 billion) is more than double last year's revenue.

Results above expectations

Revenue increased 379% year-over-year and 31% quarter-over-quarter. The company delivered non-GAAP EPS of $33.42 versus $3.03 a year ago. Gross margin reached 87.0% (versus 45.7% a year ago), operating margin 82.3%, and net income $38.4 billion. Such margins are more typical of software companies than a memory chip maker. But that's what the current market capitalization is based on, and as seen in the market, even these results haven't moved the current price much (at least before the market open).

Fiscal year 2026

Annual revenue $133.2 billion (+256%)

Gross margin 81.1% versus 40.9%, and EPS $75.52 versus $8.29 in FY25.

Operating cash flow $89.7 billion, free cash flow $62.3 billion. And that's even after investments of $27.4 billion.

DRAM revenue alone surpassed $100 billion for the first time (+252%), NAND memory grew 274% to $31.8 billion.

Growth driven by prices, not volumes

DRAM generated $39.8 billion in the quarter (73% of revenue, +27% q/q), with volume growth only in the low single digits, while average prices increased by tens of percent.

Segments

Core Data Center became the largest division with revenue of $18.0 billion and a gross margin of 90%.

Cloud Memory, which includes HBM, generated $16.3 billion with an 83% margin, which stagnated due to a higher share of HBM. This segment still has lower margins than standard DRAM, but Micron already has most of its HBM capacity for 2027 contracted at significantly higher prices and is developing the first custom HBM4E with Nvidia $NVDA.

The Mobile and Client segment added 14% to $13.1 billion with a 90% margin despite lower volumes.

The Automotive segment grew 47% to $6.8 billion with an 84% margin. The company sees another wave of new orders here. This is quite interesting because the automotive segment is rather in decline.

Contracts

Micron has signed 26 long-term agreements, which the company says will cover more than 35% of revenue by 2030. Three-quarters of them have a fixed price framework, mostly with minimum and maximum prices. Customers have also already provided commitments of $32 billion, mostly in the form of cash advances.

Q1 outlook

📈Revenue $62B vs. expected $58B

📈Earnings per share $38.15 vs. expected $35.92

✅Gross margin 86% vs. expected 86%

Supply of both DRAM and NAND is expected to be even tighter in 2027 and 2028 than this year. Management mentioned that they do not yet see a point where supply will balance with demand. Therefore, they are increasing investments above the original plan.

Do you hold $MU even after a 270% rise this year, or do you think the cycle peak is coming soon?