TLDR
- Micron hits $23.86B Q2 revenue with $13.79B net income, setting records.
- Cloud Memory revenue soars to $7.75B with 74% gross margin.
- Core Data Center growth boosts revenue to $5.69B with 67% operating margin.
- Mobile and Client segment posts $7.71B revenue and 76% operating margin.
- Q3 guidance projects $33.5B revenue and $19.15 EPS, signaling strong momentum.
Micron Technology, Inc. (MU) shares closed at $461.73, a slight 0.01% surge. The company posted strong second-quarter fiscal 2026 results, setting multiple financial records. Revenue, net income, and cash flow all reached new highs, demonstrating operational efficiency and market strength.
Micron Technology, Inc., MU
The company reported Q2 revenue of $23.86 billion, up from $13.64 billion in the previous quarter. Net income rose sharply to $13.79 billion, or $12.07 per diluted share. Adjusted non-GAAP net income reached $14.02 billion, or $12.20 per share, reflecting robust business performance.
Operating cash flow also surged to $11.90 billion, compared with $8.41 billion in Q1. Free cash flow rose to $6.9 billion after $5 billion in capital expenditures. Cash, marketable securities, and restricted cash totaled $16.7 billion at the quarter’s end.
Strong Performance Across Core Business Units
The Cloud Memory unit generated $7.75 billion in revenue, with a 74% gross margin. Operating margin expanded to 66%, demonstrating strong profitability and efficient cost management. Growth in demand for cloud infrastructure contributed significantly to these results.
The Core Data Center unit recorded $5.69 billion in revenue, marking substantial quarter-over-quarter growth. Gross margin improved to 74%, and operating margin climbed to 67%. This reflects heightened demand for data storage solutions and enterprise memory products.
Mobile and Client revenue surged to $7.71 billion, with gross margin reaching 79%. Operating margin increased sharply to 76%, signaling strong efficiency gains. The Automotive and Embedded unit achieved $2.71 billion in revenue and a 68% gross margin, highlighting growth in automotive memory applications.
Outlook Points to Continued Momentum in Q3 Fiscal 2026
For Q3 fiscal 2026, Micron expects revenue near $33.5 billion, plus or minus $750 million. Gross margin is projected around 81%, signaling continued operational leverage and pricing power. Operating expenses are estimated at approximately $1.60 billion on a GAAP basis.
Non-GAAP guidance indicates diluted earnings per share of $19.15, up from Q2 results. The company plans to maintain strong capital expenditures to support production capacity expansion. Cash dividends of $0.15 per share will be paid on April 15, 2026, following board approval to increase shareholder returns.
Micron’s financial performance demonstrates sustained strength across multiple segments. Record revenue, high margins, and growing cash flow position the company for further expansion. The stock remains supported by strong demand in cloud, data center, mobile, and automotive markets.
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