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Micron remakes a profit

Profits up despite falling prices

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Memory chipmaker Micron made a profit in the second quarter of fiscal 2005 ended 3 March, despite the continuing fall in memory prices.

The company made net income of $118m on sales of $1.3bn compared to a loss of $28m for the same period last year. This works out to 0.17 cents per diluted share.

The profit is impressive considering the 15 per cent fall in per megabit average selling prices for memory chips. Net sales were up 32 per cent which offset falling prices. Megabit sales volume was up 36 per cent.

Micron managed to slightly decrease the cost of materials in production, "work in process inventory", thanks to more efficient manufacturing.

More details here.®

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