Micron Technology Reports First-Quarter 2001 Results
Micron Technology Inc. (Boise, ID) reported a net income of $352.0 million, or $0.58 per diluted share, on net sales of $1.8 billion for its first fiscal quarter of 2001, ended November 30, 2000. Net income for the fourth fiscal quarter of 2000 was $727.0 million, or $1.20 per diluted share, on net sales of $2.6 billion. Net income for the first fiscal quarter of 2000 was $341.0 million, or $0.60 per diluted share, on net sales of $1.6 billion.
Net sales for the company's semiconductor operations for the first fiscal quarter of 2001 decreased approximately 30 percent to $1.6 billion from the fourth fiscal quarter of 2000, primarily as a result of an approximate 25-percent decrease in megabits shipped, and an approximate 10-percent decline in average selling prices. The gross margin for semiconductor operations was 49 percent in the first fiscal quarter of 2001 compared to 58 percent in the fourth fiscal quarter of 2000. The decrease in gross margin is primarily attributable to lower average selling prices and higher costs for semiconductor memory products purchased under joint-venture supply arrangements.
Chairman, CEO and President Steve Appleton commented, "I'm very pleased with the company's performance. Despite declining market conditions, Micron had a very strong quarter. Since quarter end, market conditions for our primary products have continued to weaken, resulting in significant declines in average selling prices and higher inventory levels. Micron is well positioned with leading-edge process technology, low-cost manufacturing expertise and strong financials. Moving forward, we will continue to focus on reducing costs and servicing our customers."