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Home » Micron predicts sharp increase in sales as demand for memory for AI remains strong
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Micron predicts sharp increase in sales as demand for memory for AI remains strong

Editor-In-ChiefBy Editor-In-ChiefDecember 17, 2025No Comments2 Mins Read
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Micron Technology offices are located in San Jose, California, on Tuesday, December 16, 2025.

David Paul Morris | Bloomberg | Getty Images

micron technology reported first-quarter results Wednesday that beat Wall Street expectations for revenue and earnings per share, and gave a positive outlook for the current quarter.

Micron shares rose more than 7% in extended trading.

Here’s a comparison of Memory Maker’s results and LSEG’s consensus estimates:

Earnings per share: Adjusted $4.78 ($3.95 est.) Revenue: $13.64 billion vs. $12.84 billion est.

In the second quarter, Micron said it expected sales for the quarter to be about $18.7 billion, while LSEG said it expected sales of $14.2 billion. The company forecast adjusted earnings per share of about $8.42, blowing away expectations of $4.78 per share.

“The increased capacity of AI data centers is driving a significant increase in demand for high-performance, high-capacity memory and storage. Demand for server units is strengthening significantly,” Micron CEO Sanjay Mehrotra said on an earnings call with analysts, adding that the company expects server units to grow in the “high teens” by 2025.

Micron’s first-quarter net income was $5.24 billion, or $4.60 per share, compared with net income of $1.87 billion, or $1.67 per share, in the year-ago period. Overall revenue increased 57% year over year.

Micron makes memory and solid-state storage for computers. These semiconductors have been in short supply in recent months as the artificial intelligence infrastructure boom requires large quantities of both types of chips.

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Micron’s stock price chart from the beginning of the year to the present.

Rising demand for memory has pushed Micron stock higher, rising 168% in 2025.

Micron is one of three companies that make high-bandwidth memory needed for AI applications. For example, Micron’s memory is heavily used in the following areas: AMD‘s latest AI chip.

Micron said its cloud memory sales were $5.28 billion, doubling on an annual basis. The chipmaker reported core data center revenue of $2.38 billion, up just 4% year over year. The company said higher prices were a factor in both business units.

Micron announced earlier this month that it would stop selling memory and other components directly to consumers to maintain supplies for its AI chips and data centers.



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