Micron Technology, Inc. (MU) reported a record revenue of $23.86 billion for Q2 FY2026, marking a 196% year-over-year increase and a 75% sequential rise. The company achieved a non-GAAP gross margin of 74.9%, significantly up from 37.9% in the same quarter last year and 56.8% in the previous quarter. This improvement is attributed to increased demand for high-bandwidth memory, server DRAM, and enterprise SSDs driven by artificial intelligence (AI) needs.
Looking ahead, Micron projects a non-GAAP gross margin of approximately 81% for Q3 FY2026, indicating a continuous upward trend fueled by persistent pricing power in a tight supply environment. As hyperscalers expand their AI infrastructure, Micron’s strong performance is also reflected in the stock market, with shares up about 225.3% year-to-date, compared to the technology sector’s 19.4% gain.
Additionally, key competitors, including NVIDIA Corporation and Advanced Micro Devices, Inc., report similar growth patterns, indicating a broader trend within the semiconductor industry benefiting from AI advancements. NVIDIA’s data center revenue grew 92% year-over-year, while AMD’s data center revenue surged 57% in Q1 FY2026.
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