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Micron Technology (NASDAQ:MU) shares rose after the computer storage company released second-quarter results and third-quarter guidance that beat estimates.
For the period ended March 3, Micron said it earned $2 per share on revenue of $7.79 billion. Gross margin, a closely watched metric, came in at 47.2%.
A consensus of Wall Street analysts expects Micron (MU) to earn $1.98 per share on sales of $7.53 billion in the second quarter.
Micron (MU) shares are up a little more than 4% in after-hours trading on Tuesday to $85.51.
During the quarter, Micron generated $3.63 billion in cash flow from operations, down from $3.94 billion in the previous quarter but up from the $3.06 billion it generated in the year-ago quarter.
For the third quarter, Micron expects revenue of between $8.5 billion and $8.9 billion and adjusted earnings per share of between $2.36 and $2.56 per share. Gross margins are expected to be between 46% and 48%.
Analysts expected the company to post sales of $8.16 billion and adjusted earnings per share of $2.25.
The company also said it would start paying its quarterly dividend of 10 cents per share to shareholders beginning late April 11, 2022. The dividend will be paid on April 26.
The Company will host a conference call at 4:30pm EST to discuss the results.
Last week, Micron (MU) Chief Executive Sanjay Mehrotra testified before Congress to call for more government support for the domestic semiconductor industry, although Bank of America said it was not a “silver bullet.”