Micron Technology, Inc. (NASDAQ:MU) announced financial results for the recently concluded 1QFY16. As per the reports, revenues witnessed a downfall of 7% and came down to $3.35 billion as compared to the previous quarter. On a YOY basis, revenues plunged 27%.
Insights of Financial Results
Cash flow from operations for the quarter was $1.12 billion. The GAAP income attributable to company’s shareholders was $0.19 per share or $206 million in total as compared to previous quarter’s net income of $0.42 per diluted share or $471 million in total. The non-GAAP income attributable to all the shareholders was $0.24 per diluted share or $249 million in total as compared to $0.37 per diluted share or $399 million in total.
The primary reason for a decline in company’s quarterly revenues on Q-o-Q basis was nothing but a 13% plunge in the DRAM average selling price. When it comes to non-volatile trade revenues, Micron witnessed a 2% decline compared to the previous quarter because of 7% downfall in the average selling prices that were partially offset by a modest increment in the sales volume.
Management Call
The senior management team of the company was pleased to announce these results and hoped that Micron would report better financial results in the coming months due to the improved market condition. According to Mark Durcan, CEO, Micron, although some market segments presented difficult challenges in front of Micron, the long-term growth prospects are high.
Going forward, Micron will look forward to deploying its world-class 3D NAND and advanced DRAM technology and related products in the market.
Micron Technology, Inc. (NASDAQ:MU) made a total investment of $990 million in capital expenditure, yet managed to end the quarter with net cash and other marketable investment of $5.41 billion. As the market conditions continue to improve, it expects a better quarterly performance in Q2 and looks forward to coming up with new initiatives that can lead to financial and operational excellence.
