U.S. memory semiconductor corporations Micron, the world's No. 3, guided fiscal year 2026 third-quarter (Mar.–May 2026) revenue of $33.5 billion (about 50.4175 trillion won). That would exceed its annual revenue recorded in fiscal year 2024. It also projected a gross margin of about 81% for the period. Counted with Samsung Electronics and SK hynix as the big three in memory semiconductors, Micron reports results earlier than peers and is called a "barometer" in the industry.
Micron said on the 18th (local time) that its fiscal year 2026 second-quarter (Dec. 2025–Feb. 2026) revenue came in at $23.86 billion (about 35.9093 trillion won). It grew 2.96 times from a year earlier to post its highest-ever quarterly revenue. The result was a "surprise" that far beat the $20.07 billion consensus compiled by market researcher LSEG. All four key business lines—cloud memory (CMBU), data center (CDBU), mobile (MCBU), and automotive (AEBU)—achieved record results. It also guided next-quarter revenue above the market expectation of $24.3 billion, saying growth could continue.
Micron CEO Sanjay Mehrotra said on the earnings conference call that day, "On the back of strong artificial intelligence (AI) demand, supply constraints, and excellent execution, we set records across all institutional sector metrics in the second quarter, including revenue, gross margin, earnings per share (EPS), and free cash flow," adding, "We expect significant record-breaking in the third quarter as well."
On a GAAP basis, Micron's second-quarter operating income was $16.135 billion (about 24.2832 trillion won), an 810% surge from $1.773 billion a year earlier. Operating margin rose 45.6 percentage points (P) in a year from 22.0% to 67.6%. Adjusted earnings per share (EPS) jumped 682% year over year to $12.2, far ahead of Wall Street's $9.31 estimate.
Micron said growth was driven by DRAM-related revenue of $18.8 billion (about 28.294 trillion won), up 207% from a year earlier. That includes high bandwidth memory (HBM), which stacks DRAM to boost data transfer speeds to meet AI market needs. Micron said its DRAM days of inventory are under 120 days, calling it "very tight." DRAM accounted for 79% of total revenue and NAND flash 21%.
◇ "HBM4 shipments, HBM4E mass production next year"… leadership battle intensifies
Mehrotra projected Micron can grow again next quarter, saying, "AI has not only increased memory demand but fundamentally re-established its status as a decisive strategic asset." He forecast market growth in bit shipments of DRAM in the low-20% range and NAND at about 20% this year, with supply constraints persisting, and said, "Micron's supply growth rate will also remain similar to the industry average." Bit shipments convert memory semiconductor production and sales into data storage capacity (bits) rather than unit counts. Micron said it is expanding production facilities, including spending $5 billion (about 7.43 trillion won) in second-quarter capital expenditures (CAPEX) to respond to this rising demand.
Ahead of the earnings release, Micron said it has been mass-shipping 6th-generation HBM (HBM4) 12-high 36 gigabyte (GB) since the first quarter. In a press release, it said its HBM4 is "designed for Nvidia Vera Rubin." Some have analyzed that Samsung Electronics' and SK hynix's HBM4 will be used in Nvidia's Vera Rubin AI chip launching this year.
Mehrotra expressed confidence in particular about the 1-gamma process, saying it "reached mature Production yield at the fastest pace in history." 1-gamma is a 6th-generation process at the 10-nanometer (nm; one-billionth of a meter) class and is a technology similar to the 1c DRAM applied to the world's first mass-shipped HBM4 by Samsung Electronics. However, Micron is producing HBM4 on the prior generation 1-beta process.
Micron also said it has shipped samples of HBM4 16-high 48GB to customers. For 7th-generation HBM (HBM4E), it said, "We plan mass production in 2027." Samsung Electronics unveiled a physical HBM4E device at the Nvidia developer conference (GTC 2026) on the 16th (local time) and again at its shareholders' meeting the day before. With Micron laying out specific timelines for next-generation HBM mass production, competition among memory corporations is intensifying.
As Micron posted a sharp revenue increase, expectations are rising for earnings growth at Samsung Electronics and SK hynix. According to the consensus (average of securities firm estimates) compiled by financial data company FnGuide, Samsung Electronics is expected to post first-quarter revenue of 115.4874 trillion won and operating income of 36.4489 trillion won this year. Securities firms project revenue to rise 45.9% and operating income 445.2% from a year earlier.
The first-quarter consensus for SK hynix is revenue of 45.4853 trillion won and operating income of 30.672 trillion won. That would be increases of 157.9% in revenue and 312.2% in operating income from a year earlier. An industry official said, "Micron's business structure is similar to the Samsung Electronics memory institutional sector and SK hynix, so it is affected by market conditions in the same way, and a coupling (synchronization) phenomenon—where not only earnings swings but also stock prices show similar moves—often appears," adding, "Micron's latest results will serve as a sufficient indicator to raise growth expectations for Samsung Electronics and SK hynix."