© Reuters. FILE PHOTO: Micron Technology’s logo is seen on the U.S. chipmaker’s offices in Shanghai, China, May 25, 2023. REUTERS/Aly Song/File Photo
(Reuters) -Micron Technology expects first-quarter operating expenses to be higher than its prior estimates, sending the memory chipmaker’s shares down 3%, even as the company projected revenue to trend towards the upper-limit of its forecast.
The company on Tuesday estimated adjusted operating expenses of about $990 million in the quarter ending Nov. 30, higher that its prior expectation of $900 million, plus or minus $15 million.
The higher expenses are driven by the timing of R&D costs as well as asset sales, CEO Sanjay Mehrotra said at the UBS Global Technology Conference on Tuesday.
Still, the company predicted its first-quarter adjusted gross margin to approach break-even on improving inventory and a rebound in pricing in the industry.
Micron (NASDAQ:) said it now expects revenue to approach $4.7 billion, compared with its previous estimate of $4.4 billion, plus or minus $200 million.
“I think it’s just generally expectations were high heading into this MU’s presentation today given how strong memory fundamentals have…
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