What was Micron's profitability in the reported quarter compared to the previous year?

Micron reported a net income of $43 million for the third quarter ended May 30, 2013, a substantial improvement from a net loss of $320 million in the same quarter of the prior year. This turnaround was largely driven by an improved gross margin and increased net sales.

What is the status of the Elpida Memory acquisition?

Micron is actively pursuing the acquisition of Elpida Memory, Inc. and its subsidiary Rexchip. The company targeted a closing during its fourth quarter of 2013, contingent on the satisfaction of various closing conditions. This acquisition is expected to strengthen Micron's position in the memory market by increasing its scale and product portfolio. However, the transaction involves significant financial commitments and inherent integration risks.

How did the company's revenue performance look in this quarter?

Total net sales for the third quarter of 2013 increased by 7% year-over-year to $2.318 billion. This growth was primarily driven by increased sales in the DRAM Solutions Group (DSG) due to higher average selling prices and gigabit sales, as well as growth in the Embedded Solutions Group (ESG).

What are the key risks highlighted by Micron in this filing?

Micron highlighted several key risks, including the intense competition in the semiconductor memory industry, potential declines in average selling prices faster than cost reductions, risks associated with the pending Elpida and Rexchip acquisitions (including financial, integration, and market exposure risks), potential disruptions to manufacturing operations, and risks associated with currency exchange rate fluctuations, particularly in relation to the Elpida acquisition payments.

MU 10-Q Quarterly Report Q3 FY2013 — Revenue, Net Income, EPS

Summary

Micron Technology, Inc. reported its financial results for the third quarter ended May 30, 2013. The company demonstrated a significant improvement in profitability, moving from a net loss in the prior year's comparable quarter to a net income of $43 million. This turnaround was primarily driven by a substantial increase in gross margin, which rose to 24% from 11% year-over-year, attributed to cost reductions and higher average selling prices across key segments like DRAM. Revenue also saw a healthy increase of 7% compared to the same period last year, reaching $2.32 billion. Key strategic initiatives, including the pending acquisition of Elpida Memory, Inc., continue to progress, albeit with inherent risks and complexities. The company's liquidity remains robust, with substantial cash and equivalents. Management expects ongoing cost optimization and strategic investments to support future growth and competitiveness in the dynamic semiconductor memory market. Investors should monitor the successful integration of Elpida and the impact of ongoing currency hedging activities.

Financial Highlights

53 data points

Beta

Revenue

$2.32B

0.2% Gross Margin

Net Income

$43.00M

0.0% Net Margin

EPS (Diluted)

$0.04

Total Assets

$14.05B

Cash & Equivalents

$2.44B

Free Cash Flow

$421.00M

Financial Statements

Beta

Revenue	$2.32B
Cost of Revenue	$1.76B
Gross Profit	$556.00M
R&D Expenses	$226.00M
SG&A Expenses	$127.00M
Operating Income	$149.00M
Interest Expense	$54.00M
Net Income	$43.00M
EPS (Basic)	$0.04
EPS (Diluted)	$0.04
Shares Outstanding (Basic)	1.02B
Shares Outstanding (Diluted)	1.05B

Key Highlights

1Generated net income of $43 million, a significant improvement from a net loss of $320 million in the prior year's quarter.
2Gross margin improved substantially to 24% from 11% in the prior year's quarter, reflecting cost reductions and higher average selling prices.
3Total net sales increased by 7% year-over-year to $2.318 billion.
4The pending acquisition of Elpida Memory, Inc. and its subsidiary Rexchip is progressing, with a targeted closing in the fourth quarter of fiscal 2013, pending satisfaction of closing conditions.
5Cash and equivalents remained strong at $2.44 billion.
6The company continues to invest in property, plant, and equipment, with capital expenditures of $964 million for the nine months ended May 30, 2013.
7Significant legal matters, including patent disputes and antitrust investigations, continue, with some settlements reached and others ongoing.

MICRON TECHNOLOGY INC Quarterly Report for Q3 Ended May 30, 2013

Summary

Financial Highlights

Key Highlights

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