Memory chip giant Micron Technology has closed its fiscal 2026 with yet another record-shattering quarter, reporting fourth-quarter revenue of $54.23 billion — nearly four times the $11.32 billion it posted a year earlier — as the artificial-intelligence buildout kept devouring every memory chip the industry can make. The results, announced September 30, mark Micron's sixth consecutive record quarter and beat the Wall Street consensus of $51.07 billion.
Adjusted earnings per share reached $33.42, above the $31.61 analysts expected, while adjusted gross margin climbed to an extraordinary 87%, up from 45.7% in the year-ago quarter. For the full fiscal year 2026, revenue hit a record $133.19 billion — up 256% from $37.38 billion — with adjusted earnings of $75.52 per share, an 811% jump.
Data centers can't get enough memory
The engine behind the numbers was Micron's data center business, which pulled in $18 billion — more than 11 times the $1.577 billion it generated a year earlier. DRAM revenue surged 343% to $39.8 billion, accounting for 73% of total sales. High-bandwidth memory, the fast memory at the heart of AI accelerators, remains in chronically short supply alongside server DRAM, and rising prices and volumes together are lifting the business.
Chief executive Sanjay Mehrotra told analysts that "AI is advancing toward superintelligence, and memory strengthens that intelligence and the competitiveness of customer platforms." Long-term strategic customer agreements underpin that confidence: Micron disclosed roughly $150 billion in remaining performance obligations across 26 signed agreements, with the vast majority of its calendar 2027 high-bandwidth memory supply already contracted at significant price increases.
Even the guidance was a record
Micron guided fiscal first-quarter 2027 revenue to $61.5 billion at the midpoint, with adjusted earnings of $38.15 per share — both above analyst estimates and implying another sequential record. Adjusted gross margin is seen at about 86.25%, a slight dip that chief financial officer Mark Murphy attributed to higher incentive compensation after a bumper year.
To feed demand, Micron plans to invest $250 billion in two new chip-making campuses for high-bandwidth memory — one in New York, where construction began in January, and one in Boise, Idaho, where the first new fab starts operating next year. The company is the only US-based manufacturer of high-bandwidth memory.
A muted reaction from Wall Street
Despite the records, the stock barely budged. Micron closed the regular session roughly flat near $1,065, wavered in extended trading, and finished modestly lower as investors focused on the margin warning and on results that were largely priced in — shares are up 240% this year and 540% over the past 12 months.
As a bellwether for the memory industry and the AI infrastructure trade, Micron's numbers carried a single message: data center spending on AI remains red-hot, and for now, supply — not demand — is the industry's biggest constraint.
