Micron warns of slower PC sales growth
LOS ANGELES, June 18 (Reuter) - Micron Technology Inc, one of the largest makers of computer memory chips, said the worldwide rate of growth in sales of personal computer industry systems has declined and may remain below previous periods' growth rates for the forseeable future.
In a quarterly filing with the Securities & Exchange Commission, Micron also said the growth rate in the amount of semiconductor memory per personal computer system may decrease in the future, putting pressure on memory chip prices.
``Should the rate of growth of sales of PC systems or the amount of memory per PC system decrease, the growth rate for sales of semiconductor memory could also decrease, placing further downward pressure on selling prices for the company's semiconductor memory products,'' Micron said.
On Tuesday, Micron reported third quarter profits of $97 million or $0.44 per fully diluted share on sales of $965 million. In the yea-ago quarter, Micron earned $58 million or $0.27 a share on sales of $771 million.
Micron said the rate of decline in the company's per unit manufacturing costs for semiconductor products exceeded the decline in average selling prices in the second and third quarters of fiscal 1997, but if that trend were to turn around, it would have a material adverse effect on operations. |
