Micron Doubles Wall Street's Loss View

NEW YORK (TheStreet) -Micron Technology(MU) posted much wider than expected loss for its fiscal first quarter Wednesday amid continued declines in pricing for its DRAM [dynamic random-access memory] products.

For the three months ended Dec. 1, Micron posted a loss of $187 million, or 19 cents a share, on revenue of $2.09 billion. The loss was wider than its fiscal fourth-quarter loss of $135 million, or 14 cents a share, as well as beyond the average estimate of analysts polled by Thomson Reuters for a loss of 8 cents a share in the latest period on revenue of $2.13 billion.

Gross margins were 15% in the first quarter with improvements in margins for NAND flash memory products offset by the softness in DRAM, which saw average selling prices fall 12% in the period. Revenue from DRAM products was flat on a sequential basis, Micron said, while revenue from NAND flash products increased 6% quarter-to-quarter.

The stock fell 25 cents, or 4.3%, in the regular session to close at $5.54. The shares were last quoted at $5.48 in after-hours action, down another 6 cents, on volume of more than 400,000, according to Nasdaq.com.

The company will hold an earnings call at 5:30 p.m. EST to discuss the results.

--Written by Chris Ciaccia in New York

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