MU

Micron Technology, Inc. stock research

Feb 26, 2026

FY2026 Q2

Micron Technology (MU) Gross Margin — Quarter Ended Feb 26, 2026

Revenue and gross profit both increased substantially compared to the prior quarter and the same quarter last year, while cost of revenue remained relatively stable. The gross margin improved significantly, reflecting a stronger relationship between revenue and gross profit relative to cost of revenue.

Gross margin takeaway

Quarter ended Feb 26, 2026 · FY2026 Q2

Revenue and gross profit both increased substantially compared to the prior quarter and the same quarter last year, while cost of revenue remained relatively stable. The gross margin improved significantly, reflecting a stronger relationship between revenue and gross profit relative to cost of revenue.

  • The strongest observable margin driver is the substantial increase in gross profit relative to revenue, as cost of revenue did not rise proportionally. This indicates an improved efficiency in converting revenue into gross profit.
  • Compared to the immediately preceding quarter, revenue and gross profit were higher, and gross margin improved. Compared to the same quarter one year earlier, all metrics were higher, with gross margin showing a notable improvement.

Gross margin snapshot

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

Gross margin

74.4%

Gross profit

$17.8B

Revenue

$23.9B

Cost of revenue

$6.1B

Quarter-over-quarter change

+18.4 pts

Year-over-year change

+37.6 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 29, 2025$9.3B$3.5B$5.8B37.7%
Aug 28, 2025$11.3B$5.1B$6.3B44.7%
Nov 27, 2025$13.6B$7.6B$6.0B56.0%
Feb 26, 2026$23.9B$17.8B$6.1B74.4%

Quarterly comparisons

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

Previous-quarter change

Nov 27, 2025

+18.4 pts

Year-over-year change

Feb 27, 2025

+37.6 pts

What the margin says

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

The strongest observable margin driver is the substantial increase in gross profit relative to revenue, as cost of revenue did not rise proportionally. This indicates an improved efficiency in converting revenue into gross profit.

Compared to the immediately preceding quarter, revenue and gross profit were higher, and gross margin improved. Compared to the same quarter one year earlier, all metrics were higher, with gross margin showing a notable improvement.

Monitor the trend in cost of revenue, as its relative stability compared to revenue growth was a key factor in margin improvement.