Feeds

Micron shares tumble

Meets lower targets

  • alert
  • submit to reddit

The essential guide to IT transformation

Micron Electronics met lowered estimates for its first fiscal quarter today, while its share price tumbled.

The Idaho-based company reported sales up 14.5 per cent to $404 million for the period ended November 30. Net income dropped to $2 million from $15 million.

Falling DRAM memory prices hit Micron's gross margins hard - they were 15.2 per cent, down from 24.6 per cent in Q1 2000. In October the company warned that the DRAM price dive would harm its results.

The company's PC sales grew 27 per cent in the quarter compared with the same quarter last year, with net sales for this part of the business at $275 million - up on $260 million. But PC sales were still around $30 million lower than previously expected.

Earlier this month, Micron CFO James Stewart said that had DRAM prices stayed at the previous quarter's levels, the company would be looking at $85 million more in sales.

Trading wiped nearly $5 off the company's share price today, which closed at $29.81 - not far off its 52-week low of $28. ®

Related Stories

Mighty Microsoft to miss sales targets
TSMC to chop chip output
Micron issues profit warning

Secure remote control for conventional and virtual desktops

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Kaspersky backpedals on 'done nothing wrong, nothing to fear' blather
Founder (and internet passport fan) now says privacy is precious
TROLL SLAYER Google grabs $1.3 MEEELLION in patent counter-suit
Chocolate Factory hits back at firm for suing customers
Facebook, Google and Instagram 'worse than drugs' says Miley Cyrus
Italian boffins agree with popette's theory that haters are the real wrecking balls
BBC: We're going to slip CODING into kids' TV
Pureed-carrot-in-ice cream C++ surprise
Sit tight, fanbois. Apple's '$400' wearable release slips into early 2015
Sources: time to put in plenty of clock-watching for' iWatch
Facebook to let stalkers unearth buried posts with mobe search
Prepare to HAUNT your pal's back catalogue
Ex-IBM CEO John Akers dies at 79
An era disrupted by the advent of the PC
prev story

Whitepapers

Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Advanced data protection for your virtualized environments
Find a natural fit for optimizing protection for the often resource-constrained data protection process found in virtual environments.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.