Micron Technology Inc. (NASDAQ:MU)

The financial performance indicators show notable variations across the reported quarters, with distinct cyclical patterns and phases of recovery and decline.

Gross Profit Margin (%)

The gross profit margin started at a moderately high level around 45-46% in late 2018 and early 2019, with a declining trend reaching a low point around 9% in mid-2023. It notably dipped into negative territory between mid-2023 and early 2024, with margins as low as -14.49%. Thereafter, a recovery phase is observed with margins improving steadily, reaching approximately 37% by mid-2025. The pattern indicates a period of profitability contraction followed by gradual operational improvement.

Operating Profit Margin (%)

Operating margins mirrored the trend of gross profits but with amplified volatility. Initial values near 31% declined over the years, falling into negative levels of nearly -41% during the transition from 2023 to 2024. A recovery trend emerges after this trough, whereby the margin increases back to positive territory over 20% by mid-2025. This suggests challenges in controlling operating expenses or revenue decreases during the downturn period, followed by resumed operational efficiency improvements.

Net Profit Margin (%)

The net profit margin followed a similar trajectory to the operating margin, peaking near 27% initially, then weakening consistently to reach a minimum around -42% in early 2024. The negative positioning indicates sustained net losses during this time. Subsequently, net margins recover progressively to about 18% by the mid-2025 period, revealing a restoration of overall profitability including non-operating factors and taxes.

Return on Equity (ROE) (%)

ROE demonstrated a declining pattern from values approaching 18% in 2018 through mid-2023 admixtures of positive and negative results, dipping as low as approximately -16% during early 2024. This negative ROE signals periods of financial loss relative to shareholders' equity. Following this nadir, the ratio improved back into positive ranges, indicating a restoration of profitability and efficient equity utilization, with ROE nearing 12% by mid-2025.

Return on Assets (ROA) (%)

ROA also displayed consistent decline from a starting point around 13%, sliding into negative values as low as -11% around late 2023 to early 2024. These negative returns indicate an inability to generate profits from asset base during that phase. The subsequent trend shows gradual recovery into positive territory, with ROA reaching close to 8% by mid-2025, reflecting enhanced asset productivity following a period of underperformance.

The overall analysis reveals a cycle of contraction in profitability and return metrics beginning in late 2019 through early 2024, coinciding with negative margin and return figures indicating operational and financial challenges. This prolonged downturn period was followed by gradual but consistent improvements across gross, operating, and net margins as well as return ratios on equity and assets. The data suggests resilience and a potential return to growth and profitability by the middle of 2025 after a significant downturn phase.

Revenue Trends

Revenue shows a generally upward trajectory over the examined periods. Starting at 7,913 million US dollars, it experiences fluctuations with noticeable dips around early 2023, reaching a low point of 3,693 million US dollars. Subsequently, revenue rebounds steadily, attaining a peak of 9,301 million US dollars by the latest period.

Gross Margin Behavior

Gross margin values demonstrate volatility across the periods. Initially high at 4,615 million US dollars, margins decline significantly through early 2023, even recording negative values around 2023's first quarter. Following this downturn, gross margin recovers appreciably, rising back into positive territory and reaching above 3,500 million US dollars toward the end of the timeline.

Gross Profit Margin Percentage Patterns

The gross profit margin percentage exhibits notable variability. It starts from mid-30s percentage points with values around 45.72% in mid-2019 and maintains a generally strong profit margin through late 2021, exceeding 40% in multiple quarters. However, a sharp decline ensues in early 2023, with the margin dropping sharply to negative values, indicating a temporary period of unprofitability on gross profit. Recovery emerges from mid to late 2023, with margins climbing back above 30% by the final recorded periods.

Summary of Overall Financial Health

The data suggests a period of growth and strong profitability from 2018 through 2021, followed by a challenging phase in early 2023 with reduced revenue and negative gross profit margins. This difficult phase is temporary, as subsequent quarters display improvements and a return to positive margins and revenue growth. The fluctuations may indicate market or operational challenges impacting cost structure or sales temporarily, but the recovery points toward an adaptive response or improving conditions.

The financial data reveals significant fluctuations in operating income, revenue, and operating profit margin over the observed periods.

Operating Income (Loss)

Operating income exhibited a declining trend beginning from a peak of 3,759 million USD in late 2018 to a low point around early 2023, dipping to negative figures as low as -2,303 million USD. After reaching these negative values, a recovery phase is noticeable from early 2024 onwards, with operating income returning to positive territory and reaching values above 2,000 million USD by mid-2025.

Revenue

Revenue trends show a general upward trajectory with intermittent declines. Initially, revenue decreased from roughly 7,913 million USD in late 2018 to a trough near 3,693 million USD in mid-2023. After this period, revenue increases markedly, reaching approximately 9,301 million USD by mid-2025. Despite the mid-cycle dip, the overall revenue trend appears to be bullish with recovery and growth after the dip.

Operating Profit Margin

Operating profit margin figures illustrate considerable volatility. After an initial unreported period, the margin started around 31.51%, then steadily declined, reaching negative territory near early 2023 with a minimum of -41.18%. This period aligns with the trough in operating income and revenue. Subsequently, the margin improved progressively, returning to positive values around early 2024 and climbing to over 22% by mid-2025, signaling a strong recovery in profitability.

In summary, the data portrays a full earnings cycle with initial strong performance, followed by a significant downturn of approximately four years, characterized by declining revenues, shrinking and negative operating income, and reduced profitability. This is followed by a robust recovery phase with improving margins, operating income, and revenue, suggesting an effective turnaround or favorable market conditions influencing positive financial results in more recent periods.

The financial data exhibits notable fluctuations in key performance indicators over the analyzed quarters, reflecting varying operational conditions and market dynamics.

Net Income (Loss) Attributable to Micron (US$ in millions)

The net income demonstrates a general declining trend from late 2018 into early 2020, beginning at a high of 3,293 million USD in November 2018 and decreasing to 405 million USD by February 2020. Subsequent quarters show moderate recovery and volatility, with net income peaking again at 2,720 million USD in September 2021. However, starting around December 2022, the company recorded notable losses, reaching a low of -2,312 million USD in March 2023, before gradually recovering to positive territory by May 2024 and onward, ending at 1,885 million USD in May 2025. This pattern indicates periods of financial strain possibly due to market or operational challenges, followed by phases of recovery.

Revenue (US$ in millions)

Revenue figures follow a cyclical pattern with an initial dip from 7,913 million USD in November 2018 down to 4,797 million USD in February 2020, evidencing a contraction in sales or demand. Revenue then experienced a steady growth phase, climbing to 8,274 million USD by September 2021. After this peak, revenue dropped sharply to 3,693 million USD in March 2023, the lowest point in the series, before showing a consistent recovery trend reaching 9,301 million USD in May 2025. The volatility suggests significant market fluctuations or supply chain disruptions impacting sales volume or pricing power.

Net Profit Margin (%)

The net profit margin data begins from May 2019, showing a robust margin of 26.97%, followed by a gradual decrease to around 11-13% through early 2020. From mid-2020 onward, margins improved substantially, peaking near 30.61% in June 2022, which aligns with strong profitability periods. Subsequently, there is a steep margin decline correlating with the negative net income phase, where the margin dropped as low as -42.47% in November 2023. The margin then improved steadily into positive territory, reaching 18.41% by May 2025. This trajectory indicates that the company experienced significant profitability pressure during the mid-2022 to late-2023 period, likely reflecting operational inefficiencies or market adversities, before returning to improved profitability.

In summary, the data reveals an overall cyclical financial performance with significant troughs around early 2020 and late 2022 to early 2024. Recovery phases are present following each downturn, demonstrated by rising revenue and net income, as well as improving profit margins. The fluctuations in revenue and profit margins indicate sensitivity to external market factors or operational challenges that affect financial stability. The recent uptrend toward the end of the data series suggests a restoration of financial health and business momentum.

The data demonstrates notable fluctuations in net income attributable to Micron Technology Inc. over the observed quarters. Starting with a high of 3,293 million USD in late 2018, net income declined sharply through early and mid-2019, reaching a low around 405 million USD in early 2020. Subsequently, the figure showed a recovery trajectory, peaking at 2,720 million USD in September 2021. Following this peak, a downward trend occurred with net income turning negative in late 2022 and early 2023, signaling losses that hit the lowest point at -2,312 million USD in February 2023. The latest quarters indicate a partial recovery as net income returned to positive values, reaching 1,885 million USD by mid-2025.

Total shareholders' equity presents a general upward trend throughout the period. Starting from 33,869 million USD in late 2018, equity increased steadily season over season, peaking at 50,748 million USD in May 2025. Minor declines are observable in late 2022 and early 2023, coinciding with the periods of net losses, before resuming upward movement. This growth suggests an overall strengthening of the company’s capital base despite earnings volatility.

The Return on Equity (ROE) ratios echo the fluctuations observed in net income. Initially absent for early periods, ROE appeared at 17.59% in mid-2019, followed by a marked decline to below 6% in early 2020. Then a consistent increase ensued, reaching a high of over 20% in mid-2022. Notably, ROE turned negative from late 2022 through early 2024, reflecting the net losses incurred during that time. The ratio resumed positive territory afterward, improving to 12.27% by mid-2025. This pattern highlights the impact of profitability swings on shareholder returns and indicates a recovery phase in recent quarters.

Overall, the financial performance shows periods of significant volatility in profitability, with a pronounced dip culminating in losses around 2022-2023, followed by a recovery phase. Meanwhile, the steady increase in shareholders' equity and improving ROE in the later periods suggest resilience and improving operational performance after the downturn.

Net Income Trends

Initial strong earnings followed by sharp declines in 2019 and early 2020, subsequent recovery peaking in late 2021, severe losses mid-2022 to early 2023, and positive rebound through 2025.

Shareholders’ Equity Trends

Consistent growth throughout the period, with minor dips coinciding with periods of losses, indicating overall strengthening of the financial base.

Return on Equity (ROE) Trends

High initial profitability, followed by fall and then a strong recovery. Negative ROE during periods of losses, and renewed positive performance in recent quarters.

The net income attributable to the company exhibits notable fluctuations over the period observed. Initially, the net income shows a declining trend from a peak of 3,293 million USD in late 2018 down to 405 million USD by early 2020. Subsequently, a recovery phase is noticeable, with net income rising to a high point of 2,720 million USD in late 2021, followed by a moderate decline. A significant downturn occurs in the early 2023 period with negative net income values recorded, reaching the lowest point at around -2,312 million USD. After this trough, a gradual recovery is evident with net income returning to positive figures and reaching approximately 1,885 million USD by mid-2025.

Total assets demonstrate a generally upward trajectory throughout the entire period. Starting from roughly 44,595 million USD in late 2018, assets steadily increase, peaking around 78,397 million USD by mid-2025. There are minor fluctuations and periods of stagnation, particularly around 2023 where assets slightly decline or plateau, but the long-term trend remains positive indicating growth in the company’s resource base.

Return on Assets (ROA) data is available only from mid-2019 onward and reflects significant volatility corresponding with the company's net income performance. The ROA initially declines from nearly 13% down to approximately 4.3% in mid-2019, before increasing consistently to peak at over 15% in mid-2022. Thereafter, there is a sharp decline turning negative in early 2023, aligning with the negative net income recorded during the same period. Recovery in ROA begins from late 2023 onwards, moving back into positive territory and reaching about 7.94% by mid-2025.

In summary, the company experiences a cycle of growth, decline, and recovery over the period analyzed. Asset growth remains relatively stable and positive, supporting operational capacity. Profitability, as reflected by net income and ROA, is more volatile with pronounced declines and losses followed by recovery phases. The downturns appear temporary with subsequent improvements, suggesting operational challenges were addressed and financial performance is rebounding in the later periods.