Soaring sales lifts Micron into the black

Micron returned to profitability during its most recently completed quarter, the US memory maker announced yesterday.

Sales rose 20 per cent over the previous quarter, Micron said, reaching $1.26bn during Q4 FY2005, which ended 1 September. Net income came to $43m (seven cents a share), well above the $128m (20 cents a share) loss the company posted for Q3.

Compared to the year-ago quarter, sales were up 5.9 per cent from $1.19bn, but income was down 54 per cent from $94m (14 cents a share). Then, as now, the fourth quarter showed a big jump in sales - up 43 per cent - on Q3's total.

This time round, Micron said growing demand for CMOS image sensors (up 40 per cent), DRAM (up 15 per cent) and NAND Flash. DDR and DDR 2 chips accounted for almost 55 per cent of the company's Q4 sales - other DRAM products contributed 30 per cent of the quarter's sales, with the rest going to NAND Flash and the image sensors.

The higher level of DRAM sales reflects the combination of a ten per cent increase in megabit sales and a three per cent increase in average selling prices, Micron noted.

For the full year, Micro made $188m (29 cents a share) on sales of $4.88bn, both up respectively 19.6 per cent and 10.9 per cent on FY2004's figures. ®