Micron Technology posts large 4th-qtr loss
SAN FRANCISCO, Sept 25 (Reuters) - Micron Technology Inc., one of the biggest makers of memory chips used in personal computers, on Tuesday reported a loss of about $576 million for its fiscal fourth quarter as sales tumbled 79 percent, due to weak PC sales and a glut of memory chips.
For the period ended Aug. 30, Boise, Idaho-based Micron Technology (NYSE:MU - news) reported a loss of $575.5 million, or 96 cents a share, compared with net income of $726 million, or $1.28 a share, a year ago. Sales tumbled to $480.3 million from $2.31 billion.
The loss in the latest fourth quarter include a charge, after taxes, of $118 million, or 20 cents a share for the write down of its equity investment in Interland Inc., formerly Micron Electronics Inc. Results also include an inventory write down of $289 million, or 48 cents a share, after taxes.
The per-share results excluding the one-time items discussed above would have been a loss of 28 cents, which was narrower than the consensus analysts' forecast for a loss of 33 cents a share, according to Thomson Financial/First Call. Estimates ranged from a loss of 25 cents a share to 45 cents, according to the 13 analysts surveyed by First Call.
Shares of Micron Technology closed down $1.06 to $21.24 New York Stock Exchange trade. Reflecting plunging prices for DRAM, or dynamic random-access memory, chips and weak PC sales, the stock has fallen 40 percent this year, while the Philadelphia Semiconductor Index has declined 30 percent. |
