MU

Micron Technology, Inc. stock research

Feb 27, 2025

FY2025 Q2

Micron Technology (MU) Gross Margin — Quarter Ended Feb 27, 2025

Revenue decreased compared to the prior quarter, while gross profit also decreased. Gross margin weakened from the previous quarter but improved significantly from the same quarter a year earlier.

Gross margin takeaway

Quarter ended Feb 27, 2025 · FY2025 Q2

Revenue decreased compared to the prior quarter, while gross profit also decreased. Gross margin weakened from the previous quarter but improved significantly from the same quarter a year earlier.

  • The relationship between revenue and cost of revenue drove the margin change. Revenue declined more than cost of revenue, causing gross margin to contract sequentially.
  • Compared to the immediately preceding quarter, gross margin was lower. Compared to the same quarter one year ago, gross margin was higher.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

36.8%

Gross profit

$3.0B

Revenue

$8.1B

Cost of revenue

$5.1B

Quarter-over-quarter change

-1.6 pts

Year-over-year change

+18.3 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
May 30, 2024$6.8B$1.8B$5.0B26.9%
Aug 29, 2024$7.8B$2.7B$5.0B35.3%
Nov 28, 2024$8.7B$3.3B$5.4B38.4%
Feb 27, 2025$8.1B$3.0B$5.1B36.8%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Nov 28, 2024

-1.6 pts

Year-over-year change

Feb 29, 2024

+18.3 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The relationship between revenue and cost of revenue drove the margin change. Revenue declined more than cost of revenue, causing gross margin to contract sequentially.

Compared to the immediately preceding quarter, gross margin was lower. Compared to the same quarter one year ago, gross margin was higher.

Monitor the relative movement of cost of revenue versus revenue in upcoming quarters.