Quarterly Financial Results | ||||||||||||
(in millions, except per share amounts) |
GAAP(1)
|
Non-GAAP(2)
| ||||||||||
FQ1-24
| FQ4-23 |
FQ1-23
| FQ1-24 | FQ4-23 | FQ1-23 | |||||||
Revenue | $ | 4,726 | $ | 4,010 | $ | 4,085 | $ | 4,726 | $ | 4,010 | $ | 4,085 |
Gross margin | (35) | (435) | 893 | 37 | (366) | 934 | ||||||
percent of revenue | (0.7 | %) | (10.8 | %) | 21.9 | % | 0.8 | % | (9.1 | %) | 22.9 | % |
Operating expenses | 1,093 | 1,037 | 1,102 | 992 | 842 | 999 | ||||||
Operating income (loss) | (1,128) | (1,472) | (209) | (955) | (1,208) | (65) | ||||||
percent of revenue | (23.9 | %) | (36.7 | %) | (5.1 | %) | (20.2 | %) | (30.1 | %) | (1.6 | %) |
Net income (loss) | (1,234) | (1,430) | (195) | (1,048) | (1,177) | (39) | ||||||
Diluted earnings (loss) per share | (1.12) | (1.31) | (0.18) | (0.95) | (1.07) | (0.04) |
FQ2-24
|
GAAP(1) Outlook
|
Non-GAAP(2) Outlook
|
Revenue
| $5.30 billion ± $200 million | $5.30 billion ± $200 million |
Gross margin
| 12.0% ± 1.5% | 13.0% ± 1.5% |
Operating expenses
| $1.07 billion ± $15 million | $950 million ± $15 million |
Diluted earnings (loss) per share
| ($0.45) ± $0.07 | ($0.28) ± $0.07 |
1st Qtr.
|
4th Qtr.
|
1st Qtr.
| ||||
November 30, 2023 |
August 31, 2023 |
December 1, 2022 | ||||
Revenue | $ | 4,726 | $ | 4,010 | $ | 4,085 |
Cost of goods sold | 4,761 | 4,445 | 3,192 | |||
Gross margin | (35) | (435) | 893 | |||
Research and development | 845 | 719 | 849 | |||
Selling, general, and administrative | 263 | 219 | 251 | |||
Restructure and asset impairments | - | 4 | 13 | |||
Other operating (income) expense, net | (15) | 95 | (11) | |||
Operating income (loss) | (1,128) | (1,472) | (209) | |||
Interest income | 132 | 134 | 88 | |||
Interest expense | (132) | (129) | (51) | |||
Other non-operating income (expense), net | (27) | 9 | (4) | |||
(1,155) | (1,458) | (176) | ||||
Income tax (provision) benefit | (73) | 24 | (8) | |||
Equity in net income (loss) of equity method investees | (6) | 4 | (11) | |||
Net income (loss) | $ | (1,234) | $ | (1,430) | $ | (195) |
Earnings (loss) per share | ||||||
Basic | $ | (1.12) | $ | (1.31) | $ | (0.18) |
Diluted | (1.12) | (1.31) | (0.18) | |||
Number of shares used in per share calculations | ||||||
Basic | 1,100 | 1,095 | 1,090 | |||
Diluted | 1,100 | 1,095 | 1,090 |
As of |
November 30, 2023 |
August 31, 2023 | ||
Assets | ||||
Cash and equivalents | $ | 8,075 | $ | 8,577 |
Short-term investments | 973 | 1,017 | ||
Receivables | 2,943 | 2,443 | ||
Inventories | 8,276 | 8,387 | ||
Other current assets | 791 | 820 | ||
Total current assets | 21,058 | 21,244 | ||
Long-term marketable investments | 720 | 844 | ||
Property, plant, and equipment | 37,677 | 37,928 | ||
Operating lease right-of-use assets | 648 | 666 | ||
Intangible assets | 416 | 404 | ||
Deferred tax assets | 781 | 756 | ||
Goodwill | 1,150 | 1,150 | ||
Other noncurrent assets | 1,326 | 1,262 | ||
Total assets | $ | 63,776 | $ | 64,254 |
Liabilities and equity | ||||
Accounts payable and accrued expenses | $ | 3,946 | $ | 3,958 |
Current debt | 908 | 278 | ||
Other current liabilities | 1,108 | 529 | ||
Total current liabilities | 5,962 | 4,765 | ||
Long-term debt | 12,597 | 13,052 | ||
Noncurrent operating lease liabilities | 601 | 603 | ||
Noncurrent unearned government incentives | 705 | 727 | ||
Other noncurrent liabilities | 1,026 | 987 | ||
Total liabilities | 20,891 | 20,134 | ||
Commitments and contingencies | ||||
Shareholders' equity | ||||
Common stock | 124 | 124 | ||
Additional capital | 11,217 | 11,036 | ||
Retained earnings | 39,356 | 40,824 | ||
Treasury stock | (7,552) | (7,552) | ||
Accumulated other comprehensive income (loss) | (260) | (312) | ||
Total equity | 42,885 | 44,120 | ||
Total liabilities and equity | $ | 63,776 | $ | 64,254 |
Three months ended |
November 30, 2023 |
December 1, 2022 | ||
Cash flows from operating activities | ||||
Net income (loss) | $ | (1,234) | $ | (195) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
| ||||
Depreciation expense and amortization of intangible assets | 1,915 | 1,921 | ||
Stock-based compensation | 188 | 146 | ||
Change in operating assets and liabilities:
| ||||
Receivables | (501) | 1,842 | ||
Inventories | 111 | (1,697) | ||
Accounts payable and accrued expenses | 271 | (630) | ||
Other current liabilities
| 579 | (430) | ||
Other | 72 | (14) | ||
Net cash provided by operating activities | 1,401 | 943 | ||
Cash flows from investing activities | ||||
Expenditures for property, plant, and equipment | (1,796) | (2,449) | ||
Purchases of available-for-sale securities | (199) | (90) | ||
Proceeds from maturities and sales of available-for-sale securities
| 374 | 362 | ||
Proceeds from government incentives | 85 | 2 | ||
Other | (22) | (91) | ||
Net cash provided by (used for) investing activities | (1,558) | (2,266) | ||
Cash flows from financing activities | ||||
Payments of dividends to shareholders | (129) | (126) | ||
Payments on equipment purchase contracts | (56) | (47) | ||
Repayments of debt | (53) | (20) | ||
Repurchases of common stock - repurchase program | - | (425) | ||
Proceeds from issuance of debt | - | 3,349 | ||
Other | (114) | (99) | ||
Net cash provided by (used for) financing activities | (352) | 2,632 | ||
Effect of changes in currency exchange rates on cash, cash equivalents, and restricted cash
| (1) | (6) | ||
Net increase (decrease) in cash, cash equivalents, and restricted cash | (510) | 1,303 | ||
Cash, cash equivalents, and restricted cash at beginning of period | 8,656 | 8,339 | ||
Cash, cash equivalents, and restricted cash at end of period | $ | 8,146 | $ | 9,642 |
1st Qtr. | 4th Qtr. | 1st Qtr. | ||||
November 30, 2023 |
August 31, 2023 |
December 1, 2022 | ||||
Provision to write down inventory to NRV | $ | - | $ | - | $ | - |
Lower costs from sale of inventory written down in prior periods | 605 | 563 | - | |||
$ | 605 | $ | 563 | $ | - |
1st Qtr. | 4th Qtr. | 1st Qtr. | ||||
November 30, 2023 |
August 31, 2023 |
December 1, 2022 | ||||
GAAP gross margin | $ | (35) | $ | (435) | $ | 893 |
Stock-based compensation | 67 | 64 | 36 | |||
Other | 5 | 5 | 5 | |||
Non-GAAP gross margin | $ | 37 | $ | (366) | $ | 934 |
GAAP operating expenses | $ | 1,093 | $ | 1,037 | $ | 1,102 |
Stock-based compensation | (115) | (87) | (90) | |||
Restructure and asset impairments | - | (4) | (13) | |||
Goodwill impairment
| - | (101) | - | |||
Other | 14 | (3) | - | |||
Non-GAAP operating expenses | $ | 992 | $ | 842 | $ | 999 |
GAAP operating income (loss) | $ | (1,128) | $ | (1,472) | $ | (209) |
Stock-based compensation | 182 | 151 | 126 | |||
Restructure and asset impairments | - | 4 | 13 | |||
Goodwill impairment
| - | 101 | - | |||
Other | (9) | 8 | 5 | |||
Non-GAAP operating income (loss) | $ | (955) | $ | (1,208) | $ | (65) |
GAAP net income (loss)
| $ | (1,234) | $ | (1,430) | $ | (195) |
Stock-based compensation | 182 | 151 | 126 | |||
Restructure and asset impairments | - | 4 | 13 | |||
Goodwill impairment
| - | 101 | - | |||
Other | (10) | 7 | 10 | |||
Estimated tax effects of above and other tax adjustments
| 14 | (10) | 7 | |||
Non-GAAP net income (loss) | $ | (1,048) | $ | (1,177) | $ | (39) |
GAAP diluted earnings (loss) per share
| $ | (1.12) | $ | (1.31) | $ | (0.18) |
Effects of the above adjustments
| 0.17 | 0.24 | 0.14 | |||
Non-GAAP diluted earnings (loss) per share
| $ | (0.95) | $ | (1.07) | $ | (0.04) |
1st Qtr. | 4th Qtr. | 1st Qtr. | ||||
November 30, 2023 |
August 31, 2023 |
December 1, 2022 | ||||
GAAP net cash provided by operating activities
| $ | 1,401 | $ | 249 | $ | 943 |
Expenditures for property, plant, and equipment
| (1,796) | (1,461) | (2,449) | |||
Payments on equipment purchase contracts
| (56) | (26) | (47) | |||
Proceeds from sales of property, plant, and equipment | 33 | 18 | 23 | |||
Proceeds from government incentives
| 85 | 462 | 2 | |||
Investments in capital expenditures, net | (1,734) | (1,007) | (2,471) | |||
Adjusted free cash flow
| $ | (333) | $ | (758) | $ | (1,528) |
FQ2-24
| GAAP Outlook | Adjustments | Non-GAAP Outlook | |
Revenue
|
$5.30 billion ± $200 million
| - |
$5.30 billion ± $200 million
| |
Gross margin
|
12.0% ± 1.5%
|
1.0%
| A |
13.0% ± 1.5%
|
Operating expenses
|
$1.07 billion ± $15 million
|
$122 million
| B |
$950 million ± $15 million
|
Diluted earnings (loss) per share(1)
|
($0.45) ± $0.07
|
$0.17
| A, B, C |
($0.28) ± $0.07
|
Non-GAAP Adjustments
(in millions)
| |||
A
|
Stock-based compensation - cost of goods sold
| $ | 75 |
A
|
Other - cost of goods sold
| 4 | |
B
|
Stock-based compensation - research and development
| 77 | |
B
|
Stock-based compensation - sales, general, and administrative
| 45 | |
C
| Tax effects of the above items and other tax adjustments | (13) | |
$ | 188 |
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Micron Technology Inc. published this content on 20 December 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 20 December 2023 21:02:30 UTC.