Net profit plummeted by 78%! Memory prices fell by 20%! Micron can no longer hold on

Micron Technology today released its Q3 financial report for the fiscal year 2019 ending May 30, with revenue of $4.79 billion, a year-on-year decline of 40%, and net profit of $840 million, a year-on-year plunge of 78%. The sharp drop in both Micron's revenue and profit is related to the price drop of flash memory and memory chips, especially memory chips.

According to Micron's financial report, DRAM memory chips accounted for 64% of the company's revenue. Revenue in the quarter fell 19% month-on-month and 45% year-on-year. The average ASP fell 20% month-on-month, and shipments were basically the same as the previous quarter.

In terms of NAND flash memory, revenue accounted for 31% of the company. Revenue in the quarter fell 19% month-on-month and 25% year-on-year. No specific data was given for the decline in the average ASP, but it was said to be a decline in mid-teens. The month-on-month decline in bit capacity shipments was a mid-single-digit decline, which is less than 10%.

In terms of production capacity, Micron expressed its intention to further cut investment in its financial report. Earlier this year, Micron cut flash memory and memory production capacity by 5% each. However, this time Micron's capacity reduction is even greater. The memory capacity reduction remains at 5%, but the reduction in NADN flash memory will increase from 5% to 10%.

In terms of technology, the production capacity of memory chips using the 1ynm process continues to increase, and the next generation of memory chips using the 1znm process is progressing well, and is expected to accelerate mass production in the next fiscal year. In terms of flash memory, 96-layer stacked 3D flash memory is accelerating mass production, and 128-layer 3D flash memory using generation gate technology is progressing well.

Content Statement: Except for original works, the articles, pictures, videos and music used on this platform belong to the original rights holders. Due to objective reasons, there may be improper use, such as some articles or part of the quoted content in the article failing to contact the original author in time, or the author's name and original source are marked incorrectly, etc. This is not a malicious infringement of the relevant rights of the original rights holder. Please understand and contact us for timely processing to jointly maintain a good online creation environment.