Micron Technology Inc (MU)
Profitability ratios
Return on sales
| Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | Aug 29, 2024 | May 31, 2024 | May 30, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | Jun 1, 2023 | May 31, 2023 | Mar 2, 2023 | Feb 28, 2023 | Dec 1, 2022 | Nov 30, 2022 | Sep 1, 2022 | Aug 31, 2022 | Jun 2, 2022 | May 31, 2022 | Mar 3, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 36.06% | 33.88% | 31.05% | 27.19% | 19.57% | 11.48% | -0.25% | -8.51% | -14.81% | -18.95% | -14.49% | -4.06% | 17.37% | 32.87% | 39.19% | 43.64% | 45.44% | 47.07% | 47.14% | 47.08% |
| Operating profit margin | 21.39% | 18.79% | 15.13% | 10.54% | 1.03% | -9.00% | -18.87% | -27.94% | -35.33% | -40.10% | -42.28% | -31.94% | -5.98% | 12.72% | 22.86% | 29.66% | 31.86% | 33.88% | 33.82% | 33.66% |
| Pretax margin | 18.40% | 16.93% | 15.10% | 11.28% | 1.19% | -8.87% | -18.69% | -29.58% | -35.95% | -40.64% | -42.86% | -31.71% | -5.89% | 12.80% | 22.77% | 29.74% | 31.76% | 33.57% | 33.23% | 32.74% |
| Net profit margin | 15.99% | 12.65% | 8.28% | 8.52% | 0.93% | -7.24% | -16.18% | -30.42% | -37.46% | -42.59% | -44.55% | -32.52% | -6.57% | 12.18% | 20.91% | 26.99% | 28.49% | 29.85% | 29.82% | 29.70% |
Based on the provided data, let's analyze the profitability ratios of Micron Technology Inc over the specified period.
1. Gross Profit Margin: The gross profit margin measures the profitability of a company's core business activities. Micron Technology Inc's gross profit margin showed a declining trend from 47.08% in March 2022 to as low as -18.95% in June 2023. However, the margin started improving thereafter, reaching 36.06% in February 2025.
2. Operating Profit Margin: The operating profit margin reflects the efficiency of the company's operations in generating profits. Micron's operating profit margin also experienced a decline, dropping from 33.66% in March 2022 to a low of -42.28% in May 2023. The margin improved gradually afterwards, reaching 21.39% in February 2025.
3. Pretax Margin: The pretax margin indicates the company's profitability before taxes. Similar to the operating profit margin, Micron's pretax margin declined over the period, hitting a low of -42.86% in May 2023 before recovering to 18.40% in February 2025.
4. Net Profit Margin: The net profit margin measures the company's profitability after all expenses have been deducted, including taxes. Micron's net profit margin followed a downward trend, plummeting to -44.55% in May 2023 before showing signs of recovery, reaching 15.99% in February 2025.
In summary, Micron Technology Inc faced profitability challenges during the period under review, with margins declining sharply at certain points. However, there were signs of recovery in the later periods, as indicated by the improving profit margins. It is important for investors and stakeholders to monitor these ratios closely to assess the company's financial health and performance.
Return on investment
| Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | Aug 29, 2024 | May 31, 2024 | May 30, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | Jun 1, 2023 | May 31, 2023 | Mar 2, 2023 | Feb 28, 2023 | Dec 1, 2022 | Nov 30, 2022 | Sep 1, 2022 | Aug 31, 2022 | Jun 2, 2022 | May 31, 2022 | Mar 3, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 9.57% | 8.27% | 6.42% | 4.18% | 0.38% | -2.89% | -6.69% | -9.29% | -11.05% | -12.08% | -9.72% | -7.41% | -1.66% | 4.01% | 8.74% | 13.65% | 15.20% | 17.00% | 16.43% | 16.26% |
| Return on assets (ROA) | 7.16% | 5.56% | 3.51% | 3.38% | 0.34% | -2.32% | -5.73% | -10.12% | -11.72% | -12.83% | -10.24% | -7.54% | -1.82% | 3.84% | 7.99% | 12.43% | 13.59% | 14.97% | 14.48% | 14.35% |
| Return on total capital | 15.03% | 13.47% | 10.84% | 7.89% | 2.06% | -3.23% | -8.94% | -13.53% | -15.51% | -16.91% | -13.60% | -9.99% | -2.03% | 5.81% | 12.23% | 18.33% | 20.29% | 22.63% | 21.70% | 21.57% |
| Return on equity (ROE) | 10.75% | 8.50% | 5.40% | 5.19% | 0.50% | -3.48% | -8.59% | -15.04% | -17.07% | -18.56% | -14.81% | -10.61% | -2.56% | 5.28% | 11.00% | 16.50% | 18.05% | 19.84% | 19.19% | 19.10% |
The profitability ratios of Micron Technology Inc provide insights into the company's ability to generate profits from its assets and capital.
1. Operating return on assets (Operating ROA) has shown fluctuations over the last few quarters, with a peak of 17.00% in June 2022 but declining thereafter to 0.38% in May 2024. This ratio measures the company's operating income relative to its total assets and indicates how efficiently the company is generating operating profits from its assets.
2. Return on assets (ROA) has followed a similar trend to Operating ROA, with a peak of 14.97% in June 2022 and a low of -12.83% in June 2023. ROA measures the company's net income relative to its total assets and reflects the overall profitability of the company.
3. Return on total capital peaked at 22.63% in June 2022 and bottomed out at -16.91% in June 2023. This ratio indicates the company's ability to generate returns for both equity and debt holders relative to the total capital employed by the company.
4. Return on equity (ROE) has shown a similar pattern to the other ratios, peaking at 19.84% in June 2022 and hitting a low of -18.56% in June 2023. ROE measures the company's net income relative to shareholder equity and reflects how well the company is utilizing equity investments to generate profits.
Overall, the profitability ratios of Micron Technology Inc have experienced fluctuations over the periods analyzed, highlighting the company's varying ability to generate profits from its assets and capital. It is important for investors and stakeholders to closely monitor these ratios to assess the company's financial performance and sustainability.