NEW YORK ( TheStreet) -- Micron Technology (MU - Get Report) shares weakened after Thursday's closing bell after the Boise, Id.-based chip maker posted a surprise quarterly loss on flat sales and declining margins.
The company said it lost $135 million, or 14 cents a share, for the three months ended Sept. 1 on revenue totaling $2.14 billion, down from a year-ago profit of $342 million, or 32 cents a share, on revenue of $2.49 billion. In its fiscal third quarter ended in June, Micron's revenue also totaled $2.14 billion.
The average estimate of analysts polled by
Thomson Reuters was for a profit of a penny per share in the latest quarter on revenue of $2.11 billion.
The stock was last quoted at $5.73, down 2.4%, on volume of nearly 800,000, according to Nasdaq.com.Micron also gave a word of warning to investors about the coming jury decision in its antitrust case with Rambus (RMBS), saying it can't "reasonably" estimate the range of possible losses from the suit. "An unfavorable outcome could have a material adverse impact on the company's results of operations for the fourth quarter of fiscal 2011," Micron said. Because of weak DRAM pricing, the company's gross margin dropped to 15% in the quarter from 22%. Micron said revenue from its NAND flash products rose 11% on a sequential basis as a 40% spike in volume offset a decline in average selling prices.