1

WelcomeSamir Patodia
Investor Relations

May 12, 2022
© 2022 Micron Technology, Inc. All rights reserved. Information, products, and/or specifications are
subject to change without notice. Micron, the Micron logo, and all other Micron trademarks are theproperty of Micron Technology, Inc. All other trademarks are the property of their respective owners.

2022

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Safe harbor statement
This presentation and associated commentary contain forward-looking statements
regarding our future financial performance, the industry, and other future events.
Such statements are predictions, and actual events or results may differ materially.
We identify important factors in the documents we file from time to time with the
Securities and Exchange Commission, specifically our most recent Forms 10-K
and 10-Q, that could cause our actual results to differ materially from thosecontained herein. These factors can also be found at micron.com/certainfactors.
Although we believe that the expectations reflected in the forward-looking
statements are reasonable, we cannot guarantee future results, levels of activity,
performance, or achievements. We are under no duty to update any of theforward-looking statements after the date of this presentation.
This presentation contains non‐GAAP financial measures. Reconciliations
to GAAP financial measures are contained herein in the section titled“Non-GAAP Reconciliations”.

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Today’s presenters

Sanjay Mehrotra

Sumit Sadana

Scott DeBoer

Manish Bhatia

Mark Murphy

President and CEO

EVP, Chief Business Officer

EVP, Technology and Products

EVP, Global Operations

EVP, Chief Financial Officer

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2022

Sanjay Mehrotra
President and CEO

A new era ofleadershipMicron Confidential
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AgendaThe importanceof memory and storage
Stronger industry dynamics
Micron’s leading
competitive position

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Data is transforming
the world

Global data creation
1 ZB = 1 trillion gigabytes
180 ZB

Digitization of the global economy
81 ZB

Hyperconnectivity

33 ZB

1 ZB

Insights from AI/ML

Source: IDC, Global DataSphere, March 2021
ZB = Zetabytes
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CY10

CY18

CY21

CY25

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Memory extends the frontier of what's possible
Across data center, devices and intelligent edge

More memory supports morecapable natural language
generation AI models

More memory helps transform
mobile phones into mobile
video production studios
Average DRAM in CY21 Phone (GB)Memory requirement (GB)100,000

MSFT-1T

10,000L5 Full automation

8

L4 High automation

MT-NLG
GPT-3

L3 Conditional automation

4

1,000

More memory enables autonomous
driving at higher levels

DRAM content

L2 Partial automation

100

Megatron-LM

0

GPT-2

10

Feature
Phone

3G

Talk
and text

Surfing

4G

5G

100
100M

1,000
1B

10,00010B

100,000
100B 1,000,000
1T

Number of parameters
Source: Cerebras (AI Chart), Micron estimates (automotive and mobile charts)
GB = Gigabyte
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L1 Assisted
L0 Driver only

BERT Base

1>30X

StreamingVideo
production
and smartphotography>100X
NAND content

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Memory and storage growth
fueled by diverse end demand
Data center, industrial and automotive to drive even stronger growth

Data center

MobilePC

Industrial

Auto

Others

Total

Market size
CY21

$50B

$46B

$34B

$5B

$4B

$21B

$161B

DRAM bitdemand CAGR
CY21-25

28%

14%

9%

24%

40%

16%

Mid to highteens %

NAND bitdemand CAGR
CY21-25

33%

24%

21%

45%

49%

35%

High 20s %Source: Micron estimates (rounded)

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DRAM and NAND revenue growing fasterthan the broader semiconductors
DRAM + NAND revenue
total available market growth

DRAM + NAND revenue as % ofsemiconductor total available market
4-year moving average~$330B
30%

$161B

20%

10%

0%
CY21
Source: Micron estimates

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CY30

CY03

CY09

Sources: WSTS and Micron estimates

CY15

CY21

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AgendaThe importanceof memory and storage
Stronger industry dynamics
Micron’s leading
competitive position

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DRAM + NAND industry cross-cycle averagegross margins>40%

Industry
profitability has
strengthened>2,000bps
improvement~20%

CY06-13

Source: Company filings, Micron estimates

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Delta

CY14-21

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Industry supply
discipline

Industry wafer fab equipment spend
as a % of EBITDA▪ Slowing of Moore’s Law:
decelerating supply growth, reduced costdeclines, improved pricing trendline, and ability
to hold higher levels of inventory

57%▪ ROIC focus:
requires disciplined industry capex▪ Capital return:dividends paid by all leading DRAM suppliers

30%

Micron strategy
growing bit supply in-line with demand

Source: Evercore ISI, Company filings, Micron estimates
Industry: SEC, Hynix, WDC/Kioxia, MU
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CY11

CY16

CY21

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Rising industry complexity
Industry dynamics
Rising capitalintensity andassociated scalerequirements

Growing intellectual
property andcumulativeknowledge

Increasing breadthand complexity of
products andtechnology

Importance of
manufacturingexperienceand quality

Trusted customer
relationships

Micron~$100B>$20B

50,000Replacement value1

Cumulative R&D2

Lifetime patents

1 Replacement value of manufacturing and R&D facilities, plus net cash
2 Micron FY10 through Q2-22

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AgendaThe importanceof memory and storage
Stronger industry dynamics
Micron’s leading
competitive position

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Industry’s best talentchanging the world
through innovation▪ Diverse talent▪ ~45,000 strong across

Recent awards
Forbes Best Employers for New Graduates
100% Rating from the Corporate Equality Index
Great Place to Work awards in every major location
China
Germany
India
Italy

17 countries▪ Driving end-to-end excellencefrom R&D to product delivery

Recent awards: since 2021

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Japan
Malaysia
Singapore
Taiwan​​United Kingdom
United States

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DRAM
1α:

We aim tolead ontechnology
Innovation +execution =leadership

Industry’s mostadvanced DRAM involume production

Target to ramp inmanufacturing before
end of CY22

NAND
176-layer:

Industry’s mostadvanced NAND involume production
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1β:232-layer:
Target to ramp inmanufacturing before
end of CY22

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We are a global manufacturing powerhouse
investing in a sustainable future
Micron produces overWe plan to invest over

6 million wafers a year

$150B in Capex
and R&D globallyin diverse locations
Ships over3 billion units a year
Industry leadership in smart
manufacturing and quality

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over the next decade in line withindustry demand

Geographic considerations:
1. Construction and operating costs(incl. government incentives)
2. Semiconductor ecosystem
3. World-class talent

Announcing our target
to achieve:

Net Zero emissions
by CY50
We are committed tosustainability – to betterthe environment andour communities

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First to ramp advanced nodes across our products
Industry leading 1α and 176-layer across product portfolio

Customerfocused
product
leadership

Leadership on new interface standards
First to market: DDR5, LPDDR5, LPDDR5X

Differentiated performance
Proprietary GDDR6X. Custom memory products

Quality leadership
Ranked as #1 by majority of our customers

Business model innovation
Driving improved business dynamics through new commercial arrangements

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Strong execution enables
financial leadership2018 Investor Day commitments

Financial achievements
Over the last five years*

Technology✓ Achieve leadership in DRAM
✓ Complete NAND replacement
gate transition+16%
Revenue CAGR

Product✓ NAND high value solutions
bits > 80%+1,970bps
Gross margin % improvement

Operations✓ $9B structural improvement$12B
Cumulative R&D investment

Finance✓ Return >50% free cash flow
to investors$21B

We expect todeliver strong
growth andprofitability
cross-cycle
Today we are presenting
our financial model, reflecting
confidence in the long-term
health of our business

Cumulative free cash flow

*Last five years: Q2-17 vs Q2-22 trailing twelve months for revenue and non-GAAP gross margin %, Q3-17 to Q2-22, inclusive, for cumulative R&D and free cash flow.
Free cash flow is a non-GAAP measure defined as cash provided by operating activities less investments in capital expenditures,
net adjusted for amounts funded by partners and proceeds from sales of PP&E.
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Strong foundation for a new era of leadership

Product
leadership+Technology
leadership+

Manufacturingleadership+

Financialleadership

Creating value for all our stakeholders
Customers | Employees | Investors | Communities | Suppliers
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2022

Sumit Sadana
EVP, Chief Business Officer

Product andbusiness leadership
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AgendaProduct portfolio
End markets

Business model
innovation

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Micron delivers leadership productswith compelling value propositions

Accelerated
time to market

Differentiatedperformance

Qualityleadership

Co-innovating with our customers

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SupplyassuranceMicron Confidential
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Leadership products across end-markets
Data Center, PC
and Graphics DRAM

SSDs

MobileAutomotive andEmbedded▪ #1 market sharein DDR5▪ Technology leader in
consumer and client
QLC SSDs▪ Low-power technology▪ #1 market share in
leader in LPDDR4,
auto and industrial
LPDDR5, LPDDR5X, MCP▪ World’s fastest graphics
memory: GDDR6X▪ World's first 176-layer
NVMe data center SSD▪ First to market with
LPDDR5 and LPDDR5X▪ World’s first auto qualified
UFS 3.1 and LPDDR5Technology leadership: 1α DRAM and 176-layer NAND
Quality leadership: Ranked #1 by majority of our customers​

DDR = Double Data Rate, GDDR = Graphics Double Data Rate, LPDDR = Low-Power Double Data Rate, MCP = Multi-Chip Package, NVMe = Non-Volatile Memory Express,
QLC = Quad Level Cell, UFS = Universal Flash Storage

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Revenue mix shifting to higher growth, more stable,
and less seasonal end-markets
Approximate percentage of Micron’s revenue FY21 → FY25

Automotive + Industrial+ Networking

Data Center+ Graphics

PC + Mobile+ Other

15% → 20%

30% → 42%55% → 38%

High market share in fast growing,stable margin end markets

AI/ML, data economy driving
secular growth

Lower mix of consumer,
seasonal market exposure

Source: Micron estimates
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AgendaProduct portfolio
End markets

Business model
innovation

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Legacy compute platforms
Simple, homogeneous server architecture, standards-based memory design

CPU

DRAM
DDR

NVMe

NAND
storage

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PCIe

HDD
storageMicron Confidential

Data intensive workloads drive heterogenous
data center architecture
DRAM and Emerging
Memory Expansion

Heterogenous architecture benefits▪ Flexible and scalable▪ Improved performance

DDR
Host CPU

NVMe

PCIe

HBM

PCIe
IPU / DPU

NAND
storage

HDD
storage▪ Reduced power consumption

CXL
GDDR
PCIe/
CXL

GPU
Accelerator
HBM

DDR

Increasing datasets and compute core
counts drive need for memory expansion,accelerated by CXL interface

Micron well positioned to lead platform
innovation with customers

CXL = Compute Express Link, DPU = Data Processing Unit, GPU = Graphics Processing Unit, HBM = High Bandwidth Memory, IPU = Infrastructure Processing Unit
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Data center: Growing content, growing value
GB shipped per server

DRAM / NAND data center TAM$180 B

3x
NAND

14%
CAGR

2x

NAND

DRAM

$120 B

$60 B

DRAM

$0 B
CY21

Source: Micron estimates
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CY25

CY21

CY25

CY30

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DDR5 penetration ofindustry server DRAM

Micron leading DDR5transition>50%▪ #1 market share▪ Industry’s most developed ecosystem

11%1%
CQ1-22

CQ4-22

CQ4-23

DDR5 majority of server
DRAM by the end of CY23
Source: Micron estimates
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HBM market TAM

Micron now ramping
high-bandwidth memory

30%
CAGR

$13B

▪ Qualified HBM2E at #1 volume

customer in the HBM market$7B▪ Aggressively driving leadership HBM

roadmap with focus on performance,
power and capacity

$1B
CY21

CY25

CY30

AI/ML drives strong
HBM growth
Source: Micron estimates
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CXL market TAM

Micron leading CXL
innovation>$20B▪ Differentiation in memory solutions▪ Leadership in emerging memory
$0B

$2B

CY21

CY25

CY30

Heterogeneous architecture
driving CXL TAM growth
Source: Micron estimates
CXL = Compute Express Link
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Data center NAND TAM

Billions of GB

2,400

Micron gaining share indata center SSD~5x NAND
GB growth

1,600▪ Industry leading NAND technology,

quality of service and mixed I/O
performance

800

~3x

▪ Second generation vertically integrated

NVMe SSD in volume production

0
CY21

CY25

CY30

Data center NAND growth
accelerates as innovative
solutions reduce TCO
Source: Micron estimates
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Average content per smartphone
DRAM

NAND

Micron leading in
mobile solutions▪ Low-power technology leader in

LPDDR4, LPDDR5, LPDDR5X and
MCP~280 GB

~9 GB
~5 GB

~120 GB▪ >50% of DRAM and 60% of NAND

shipped in FY22 in MCPs is based on
1α /176-layer technology

CY21

CY25

CY21

5G penetration drives content growth
CY21: ~40% → CY25: 80%+
Mobile 5G percentage of smartphone units

Source: Micron estimates
MCP = Multi-Chip Package
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LPDRAM percentage
of total industry PC
DRAM GBPC DRAM content

Micron leading
key transitions in PC▪ Low-power technology leader in

Up to
128 GB>40%

LPDRAM▪ Leading the PC DDR5 transition▪ Industry leading client QLC SSDs

17%

Up to
32 GB
9 GB

CY21

CY25

LPDRAM PC
penetration
increasing
Source: Micron estimates, Apple.com
QLC = Quad Level Cell
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Avg. CY21 PC

M1 ProM1 UltraNew architectures
driving innovationand content growthMicron Confidential
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Explosion of industrial IoT devices at the edge

Micron leading inindustrial products▪ #1 market share, with quality and

AI-enabled video
security and analytics

Smart factory androbotics

Smart grid andclean energy

Drones andIndustrial transport

Industrial AR/VR

Low earth orbit (LEO)
communication

reliability leadership▪ Broadest portfolio with long-life
cycle support and application
optimized solutions

Source: Micron estimates
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Micron leading in
automotive

Auto market memory TAM
Infotainment and connectivity
ADAS and autonomous
Powertrain and other$10B▪ #1 market share▪ Highest quality, performance and

28%
CAGR

most expansive portfolio$5B▪ Co-innovating with customers

$0B
CY21

CY25

Long term annual opportunity:~100M "data centers on wheels”
Source: Micron estimates, ADAS = Advanced Driver Assistance Systems
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Micron’s customer and ecosystem relationships enableco-invention / innovation and drive industry adoption

Joint Labs
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CustomPackaging

CustomMemoryTelemetry

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AgendaProduct portfolio
End markets

Business model
innovation

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Long term agreements% of Micron revenues

Long-term agreements
drive improved businessdynamics>75%

Increased visibility into customers’ plans

Reduced volatility, supply / demand mismatches~10%

Improved revenue consistency
CY17

Source: Micron
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Business model innovation: forward pricing agreements
Industry DRAM prices
Market pricing

Customers win
Pricing trendline▪ Guaranteed supply▪ Reduction in working capital▪ Guaranteed price reductions

Illustrative example

Micron wins

DRAM gross margin %▪ Stable gross margins

Market model
New model =Stable, predictable

Illustrative example

Source: Micron estimates
Micron Confidential▪ Planning predictability▪ Guaranteed volumes / share

Gross margin %variability

Announcing our first 3-year DRAM contract with a top 10 customer>$500M/year revenue

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Product and business leadership

DelivergrowthMicron Confidential+

Reducevolatility

+

Boost
profitability

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2022

Scott DeBoer
EVP, Technology and ProductsTechnology andproduct leadershipMicron Confidential
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Memory industry’s strongest engineering teamDiverse global team delivering technology and product leadership

Process, productand solutions R&D
United States
Japan*
Singapore*
India
Italy
China
Germany
Taiwan**Technology embedded at manufacturing site

Culture of innovation

Vertical integration

Customer focus

Global talent fuels innovation

Silicon to systems focus on
end-application valuePartnership for innovation and quality

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Winning technology strategy
Executing through major technology and product transitions

Key achievements
6F2 3x2
DRAM

Multiplepatterning

Technology cadence
acceleration

2D to 3D NAND
(CMOS under array)

NAND solutions
enablement

High Performance
CMOS DRAM

Floating gate to
Replacement gate

Positioned to extend leadership with future initiatives
EUV, HBM Next, CXL, Next gen AI memory, High NA EUV, 3D DRAM, emerging memory
CMOS = Complimentary Metal Oxide Semiconductor, High-NA EUV = High-Numerical Aperture Extreme Ultraviolet Lithography
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Introducing EUV at
the right time
Technology and cost leadership withmultiple patterning through 1b DRAM

Micronintercepting
EUV on 1g

EUV lithography productivity

CY24 ramp with EUV▪ More advanced tools▪ Improved equipment reliability,

productivity and performance▪ Maturity of enabling technologies(reticles, resists)▪ Differentiation enabled at 1g

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2018-2020
CY18-202021-2023
CY21-23

2024+
CY24+

Optimized solution: Multiple EUV layers plus appropriate
use of advanced multiple patterning 193nm technology

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DRAM technology roadmap
Sustained leadership: Excellence in quality, performance, density and cost

Power /
performance

EUV /Multipattern▪ Advanced CMOS at 1b▪ EUV introduction at 1g…

Process
enablement

Designarchitecture

Designinnovation

Materials
research

Process
capability▪ Extending planar

DRAM roadmap▪ High NA EUV R&D

investment▪ Continued investment

in 3D DRAM R&D

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1b

1g

1d

1e

Yield ramp

Yield enablement

Structuraldevelopment

Pathfinding

Planar DRAM roadmap

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1b: The world’s most advanced DRAM
Industry leadership sustained – starting ramp in late CY22

▪ Advanced pattern multiplication

lithography▪ Extend DDR5 and LPDDR5 leadership▪ Delivers graphics, HBM3 andautomotive excellence▪ Leadership in power, performance

16Gb LPDDR5and cost
1b DRAM

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DRAM product excellence
Leadership in compute, mobile, automotive DRAM and graphics
Computeleadership

Industry leading DDR4 andDDR5 performance and cost

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Mobile and auto
leadership

Graphics
leadership

High-bandwidth
memoryNew memoryarchitecture

Industry’s first automotive
qualified 1a LPDDR4Worlds fastest DRAMGDDR6X at 24 Gbps

HBM optimized for
future workloads

CXL roadmap focus on
customer co-invention

LPDDR5X industry
leadership for highbandwidth operation

PAM 4 based GDDR6X

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NAND technology roadmap for leadership
Enabling leadership for the next decadePower /
performance

Deviceoptimization▪ Advanced CMOS

Process
enablement

Designinnovation

Materials
researchenabling performance…

▪ Extending dual

Designarchitecture

Process
capability

stack technology▪ Expanding

QLC leadership

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232-layer

2YY

3XX

4XX

Yield ramp

Yield enablement

Structuraldevelopment

Pathfinding

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232-layer: The world’s most advanced NAND
Industry leadership sustained – starting ramp in late CY22

▪ Extending CuA and 2 arraystack process architecture▪ Optimized for leadership inmanaged NAND and SSD▪ Combination of external andoptimized internal controllers▪ Increased density, power andbandwidth node-over-node
1Tb TLC NAND

*CuA: CMOS Under Array

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232 Layer, 2 stack,
CuA* NAND

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NAND product leadership
Leveraging 176-layer NAND technology
Mobile/auto(managed NAND)

Data center
SSD

Vertical integration
QLC client
SSD

Enabling leadership, productdifferentiation, and accelerated
time-to-market
Client SSD
NAND qualification to product qualification*

96-layer

30%
Reduction

176-layer

Data center SSD
NAND qualification to product qualification*

96-layer176-layer
Combining industry leading
DRAM/NAND technology
with internal controller

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Delivering to demanding
performance and reliability
requirements

Best-in-class cost SSD*Time between component to product qualification

30%
Reduction

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Delivering technology and product excellence

Team

+

Technology+

Products

Momentum for a new era of leadership

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Break
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2022

Manish Bhatia​
EVP, Global Operations​Operational
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Global manufacturing footprint is a competitive advantage
Enabling structural flexibility and diverse workforce

Assembly/Test
DRAM

Fab
DRAM, NAND and NOR

Fab
DRAM
Fab and Assembly/Test
DRAM

Manufacturing sites
R&D integrated with MFG

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Fab and Assembly/Test
NAND

~35K
Operations
employees

13K+
suppliers

450+
Customers*

6M+
wafers3B+ units
shipped6K+
products

Assembly/Test
DRAM, NAND and NOR*Excludes B2C customers

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Smart manufacturing deployed across our operations
Recognized leader in smart manufacturing by third parties* as well as by semiconductor equipment
and materials partners

Massive data analyzed

500K+

20M+

Sensor countwafer images run
through AI model
weekly250M+>30

Control points

Petabytes ofdata analyzed+

Applying innovative
data science▪ AI/ML expertise▪ Faster yield ramps▪ Big data infrastructure▪ Greater capital productivity▪ Real time platforms▪ Higher quality*Singapore and Taiwan sites recognized as Industry 4.0 Digital Lighthouses by the World Economic ForumMicron Confidential=

Generating impact
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Accelerating ramps of leading-edge technology
DRAM yield
30% faster to maturity

NAND yield
20% faster to maturity

Mature yield milestone

Mature yield milestone

1Z

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30%

20%

Faster to
maturity

Faster to
maturity

1α96-layer176-layer

Technology leadership
Industry’s first 1α DRAM technology

Technology leadership
Shipping world’s first 176-layer NAND

Volume ramp
~ 5 months faster vs prior node

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Relentless pursuit of productivity
Fab*More than $6B in capitalsavings since FY20
across the network▪ Throughput improvements▪ Tool avoidance

Assembly / Test*

~15%

~25%

Normalized
equipment
output rate

▪ Cleanroom space productivity

FY20*Critical workstations

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FY22

FY20

FY22

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Highest quality differentiates Micron from competition▪ Leveraging smart manufacturing platforms for early detection and real time response▪ Culture of Quality Benchmark*: Micron is #1 in the semiconductor space and Top 5%

across all companies globally▪ More than 80% of our customers rank Micron #1 or #2“Micron is definitely best in class in quality and an indispensable supplier for DRAM”- Leading Japanese Tier 1 automotive supplier*Culture of Quality Benchmark: Gartner index measuring employee responses on quality excellence pillars

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Enhanced cost competitivenessMicron frontend
memory industry
cost position*

CY16

CY22

Long-term target(annual cost reduction rate)

DRAM

3rd

2nd

High single digits

NAND

4th

1st

Low to mid teens▪ Frontend cost reductions in FY22 are outpacing the industry▪ Competitive BOM / assembly / test costs via vertical integration andoperational excellence*Yielded cost of memory die, BOM = Bill of Materials
Source: Micron estimates

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Scaling Assembly and Test capabilities
Combination of in-house andsubcontractor assembly enables scale
and flexibility to meet customer needs

Micron’s in-house design and developmentof high-performance test equipment
delivers a unique capability

Building geographic redundancy▪ In-house footprint above 60%▪ Long term agreements with subcontractors▪

▪

In-house sites
China

Malaysia

Singapore

TaiwanSubcontractor sites
China

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Malaysia

TaiwanKorea

MexicoExtends vertical integration▪ Drives cost competitiveness▪ Enables faster volume ramps

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Strategic inventory management enables agility
Achieving better customer service while lowering finished goods inventory levels
Trailing 3-year average days of inventory outstanding (DIO)

FY15

DIO

WIP* andraw materials

Increasing process steps from technology complexity and supporting high value solutions

DIO

Finished
goods

Demand driven postponement model resulting in lowest inventory level in more than a decadeand improved customer delivery by 20 percentage points (FY22 vs. FY18)*WIP: Work in progress
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FY22

Higher material inventory requirements to ensure production continuity

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Our memory. Our planet.
Climate goals
TargetNet Zero (scope 1 + 2) CY 2050

Scope 142% absolute reduction CY2030 vs. CY2020$1B investment in sustainable operations(in line with international agreements 1.5°C trajectory)financed with green bonds

Scope 2

100% renewable in U.S. and Malaysia CY2025

Expand renewable energy
sourcing globally to support net zero goal

Conservation and recycling goals

Collaboration with ecosystem

Water

75% water conservation CY2030

Waste

95% reuse, recycle and recovery with Zero
hazardous waste to landfill CY2030

and industry providers to develop
sustainable solutions

Scope 1: Direct emissions comprising process greenhouse gas, heat transfer fluid and fuel, measured against CY20 baseline
Scope 2: Indirect emissions comprising purchased energy
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End to end vision and execution

Leading-edge
technology
at scale

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Supplycontinuity forour customers+

Peerless
product
quality+

Responsible
operations for asustainable future

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2022

Mark Murphy
EVP, Chief Financial Officer

Delivering financial
performanceMicron Confidential
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Sustainable financial performance
Built on Micron leadership and strong industry fundamentals

Financial excellenceTechnology
leadership

Product
leadership

Manufacturingleadership

Strong industry fundamentals

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Margin outperformance on strong execution
Technology, product, and manufacturing execution underpin relative margin improvement4%

GM%: Micron vs industry average*(DRAM + NAND 4-year rolling average)

2%

2%
0%
0%
-2%
-2%
-4%
GM % delta
Micron minus
industry average* -6%
-6%
-8%
-10%
-12%
-14%

-11%

-13%
CY16

GM%: Non-GAAP Gross Margin %*Industry average excludes Micron
Micron Confidential

CY17

CY18

CY19

CY20

CY21

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Strong revenue growth and cash generation
Robust cross-cycle performance
Revenue

Operating cash flow

Free cash flow*

4-yr moving average

4-yr moving average

4-yr moving average

>2x

>4x

>4x
$4.3B

$12.8B $12.7B$11.8B$26.1B$25.7B$23.9B$21.6B$19.8B$3.6B$10.5B

$4.2B
$3.6B

$2.9B

$8.5B

$16.3B$13.5B$12.5B$10.6B

$5.6B
$3.0B

$3.7B $4.0B

$1.2B

$1.2B

$0.8B
$0.5B

Fiscal
Year

14

15

16

17

18

19

20

21 1H22 ^

14

15

16

17

18

19

20

21 1H22 ^

14

15

16

17

18

19

20

21 1H22 ^*Free cash flow is a non-GAAP measure defined as cash provided by operating activities less investments in capital expenditures, net adjusted for amounts funded by partners and proceeds from sales of PP&E.
A reconciliation of non-GAAP measures is included in the section titled “Non-GAAP Reconciliations”^ 1H22 4-yr moving average info are based on 2H18 though 1H22 actual results

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Micron’s cash strategy enables future successTechnology, product, and manufacturing leadership enable robust free cash flow
Cash sources (FY18 – FQ2’22)

Cash uses (FY18 – FQ2’22)

R&D1

$11B
Cash flow fromoperations (before
R&D investment)1$70B

Invest in
future growth

Capex, net2

$40B
Strengthenbalance sheet
Return cash

Net cash increase3

Results

Technology andproduct leadership

Driving profitable growth andmanufacturing scale$10B

Reduced to <0.5x leverage4
Total cash5 of $12B

Buybacks + convert
premium + dividend: $8B6

94M shares repurchased +62M reduction from converts6

1 Cash flow from operations before research and development is a non-GAAP measure defined as net cash provided by operating activities plus research and development added back.
2Investments in capital expenditures, net is a non-GAAP measure defined as capital expenditures net of amounts funded by partners and proceeds from sales of property, plant, and equipment.
3Net cash is a non-GAAP measure defined as total cash less total debt

4Leverage is defined as ratio of gross debt to Adjusted EBITDA. Adjusted EBITDA is a non-GAAP measure defined as non-GAAP
net income plus interest, taxes, depreciation and amortization of intangible assets. 5Total cash includes cash, short-term investments, long-term marketable investments, and restricted cash. A
reconciliation of non-GAAP measures is included in the section titled “Non-GAAP Reconciliations”. 6 43M out of 62M convert shares were settled in FY18 with a ~$2B convert premium

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Significant value in Micron’s assets
Hard to replicate combination of manufacturing capabilities, IP, and human capital~$100B~50,000~45,000

Replacement value of
manufacturing and R&D
facilities, and net cash

Patents granted

Team members across
17 countries~50,000 lifetime patents granted and ~45,000 team members as of May 5th, 2022

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Node leadership and bit growth through investment
Leadership with leading edge node transitions
Node introduction before/after industry
3 Qtrs

DRAM

1X

1Z

Increase in our bit
shipments from FY18

4 Qtrs1α

2x-9 Qtrs
4 QtrsNAND

0 Qtrs64/72-layer-2 Qtrs
64/72-layer

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92/96-layer

162/176-layer

3xMicron Confidential
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Solid balance sheet
Financial flexibility and lower cost of capital
6E+09

1.1x

$4.9B

4E+09

Lowered cost of debt
0.4x

2E+09

0

Net Cash-2E+09Leverage+

Lengthened average maturities ~2x

Achieved investment grade rating-4E+09-6E+09-$5.0B
FQ4'17

FQ2'22

Leverage is defined as ratio of gross debt to Adjusted EBITDA (Trailing Twelve Months). Adjusted EBITDA is a non-GAAP measure defined as non-GAAP net income plus
interest, taxes, depreciation and amortization of intangible assets. Net Cash is defined as sum of cash, short-term investments, long-term marketable investments, and restricted cash,
minus debt. A reconciliation of non-GAAP measures is included in the section titled “Non-GAAP Reconciliations”
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Cross-cycle financial model
Expect industry trends and Micron execution to support strong growth and cross-cycle profitability
Growth CAGR

RevenueHigh single digit

Memory requirements outpace broader semi growth

Cross- cycle targets
Operating margin~30%>70% of revenue from DRAM; strong synergies with NAND

EBITDA margin

Low 50s

Robust operating performance

Capex1

Mid 30s

FCF2

>10%

as % of revenue

as % of revenue

as % of revenue

Disciplined capex investment
Return cash to shareholders

1Capex net of amounts funded by partners and proceeds from sales of property, plant, and equipment (PP&E)
2Free cash flow is a non-GAAP measure defined as cash provided by operating activities less investments in capital expenditures, net adjusted for amounts

funded by partners and proceeds from sales of PP&E
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Capitalallocation
priorities

1

2

Micron Confidential

Invest in the business

Financial flexibility

M&A

Invest in technology
development,
manufacturing
capacity, global
talent, andsustainability

Maintain liquidity,
net cash position,and investment
grade rating

Value creation
through acquisition

Cash return

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Today, we areannouncing
our first
dividend
increase
Micron Confidential$0.115quarterly
15% increase

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85

TARGETSValue
creating
capitalallocation
Stronger capital return

Invest inbusiness

Capex1 mid 30s % of revenue

Liquidity2
Net cash3

Liquidity of mid 30s % of revenue
Maintain positive net cash position
Return all free cash flow
Over the cycle beyond balance sheet and strategic M&A considerations

Growing dividend
Cash
Return▪

Increasing quarterly dividend
from $0.10 to $0.115 per share▪

Programmatic buybacks todollar cost average▪

Target to continue to growdividend over time*▪

Opportunistic buybacks toaugment programmatic▪

Confidence in EBITDA andFCF generation capability ofthe business

1Capex net of amounts funded by partners and proceeds from sales of property, plant, and equipment
2Cash, short-term investments, long-term marketable investments, restricted cash, and undrawn revolver capacity
3Net Cash is defined as sum of cash, short-term investments, long-term marketable investments, and restricted cash, minus debt

*Future declarations of quarterly dividends are subject to the determination and discretion of Micron’s Board of Directors
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Buybacks

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Delivering financial performance

Click to add text

Strong industry
fundamentals

Micron Confidential+

Micron leadershipand execution=

Growth andcash return

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Micron Confidential
88▪ Non-GAAP Reconciliations
Amounts in millions
Net cash provided by operating activities

FY-11
$

Expenditures for property, plant, and equipment

FY-12

2,482

$

FY-13
2,115

$

1,811

(2,550)(1,871)(1,442)

Proceeds from sales of property, plant, and equipment

127

67

28

Payments on equipment purchase contracts

(322)

—

(16)

14

203

16

(2,731)(1,601)(1,414)

Amounts funded by partners
Investments in capital expenditures, net
Adjusted free cash flow$

Amounts in millions
Net cash provided by operating activities

(249)

$

FY-14
$

Expenditures for property, plant, and equipment

514

$

397

FY-15

5,698

$

FY-16

5,209

$

3,169

(3,107)(4,021)(5,817)

Proceeds from sales of property, plant, and equipment

43

36

37

Payments on equipment purchase contracts

(30)

(95)

(46)

Amounts funded by partners

108

220

75

(2,986)(3,860)(5,751)

Investments in capital expenditures, net
Adjusted free cash flow

$

2,712

$

1,349

$

(2,582)Adjusted free cash flow – 4-year moving average

$

844

$

1,243

$

469

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89▪ Non-GAAP Reconciliations
Amounts in millions
Net cash provided by operating activities

FY-17
$

Expenditures for property, plant, and equipment

FY-18

8,153

$

FY-19

17,400$13,189(4,734)(8,879)(9,780)

Payments on equipment purchase contracts
Amounts funded by partners

93
(519)
13

208
(206)
895

146
(75)
754

Other free cash flows

361

—

—

(4,786)
3,367(7,982)
9,418(8,955)
4,234

Proceeds from sales of property, plant, and equipment

Investments in capital expenditures, net
Adjusted free cash flow
Adjusted free cash flow – 4-year moving average

$
$

1,212

$
$

Amounts in millions
Net cash provided by operating activities

FY-20

$

Expenditures for property, plant, and equipment
Proceeds from sales of property, plant, and equipment
Payments on equipment purchase contracts
Amounts funded by partners
Investments in capital expenditures, net
Adjusted free cash flow
Adjusted free cash flow – 4-year moving average

Micron Confidential

2,888

$
$

$
$

3,609
FY-21

8,306

$

12,468(8,223)(10,030)

69
(63)
272

108
(295)
502

(7,945)361
4,345(9,715)
2,753
4,192

$
$

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90▪ Non-GAAP Reconciliations
Amounts in millions
Net cash provided by operating activities

2H-18
$

Expenditures for property, plant, and equipment

9,416

FY-19
$

FY-20

13,189$8,306(9,780)146(8,223)

Proceeds from sales of property, plant, and equipment(4,662)
104

Payments on equipment purchase contracts
Amounts funded by partners
Investments in capital expenditures, net

(53)
551
(4,060)(75)
754(8,955)(63)
272

Adjusted free cash flow

$

5,356

$

Amounts in millions
Net cash provided by operating activities

Micron Confidential

$

FY-21
$

Expenditures for property, plant, and equipment
Proceeds from sales of property, plant, and equipment
Payments on equipment purchase contracts
Amounts funded by partners
Investments in capital expenditures, net
Adjusted free cash flow
Adjusted free cash flow – 4-year moving average

4,234

69

$

(7,945)361

1H-22

12,468$

7,566(10,030)(5,876)

108
(295)
502

48
(105)
66

(9,715)2,753(5,867)
1,699
3,601

$
$

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91▪ Non-GAAP Reconciliations

Amounts in millions
Cash and short-term investments

FQ4-17$5,428

FQ2-22$

10,122Current and noncurrent restricted cash

107

108

Long-term marketable investments

617

1,717

(11,134)(7,076)

Current and long-term debt
Net cash

Micron Confidential$(4,982)$4,871

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92▪ Non-GAAP Reconciliations
Amounts in millions

FY-18

FY-19

FY-20

Net cash provided by operating activities$

17,400$13,189$8,306

GAAP research and development

$

2,141

$

2,441

$

2,600

Other
Non-GAAP research and development

$

(54)
(3)
2,084

$

(68)
(30)
2,343

$

(86)
(1)
2,513

Cash flow from operations before research and development$

19,484$

15,532$

10,819Stock-based compensation

Amounts in millions

FY-21

FY18 – 1H-22

1H-22

Net cash provided by operating activities$

12,468

$

7,566

$

58,929GAAP research and development

$

2,663

$

1,504

$

11,349Stock-based compensation
Other
Non-GAAP research and development

$

(110)
(1)
2,552

$

(83)
(1)
1,420

$

(401)
(36)
10,912

Cash flow from operations before research and development$

15,020

$

8,986

$

69,841

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93▪ Non-GAAP Reconciliations
Amounts in millions
GAAP net income
Interest (income) expense, net
Provision (benefit) for income taxes
Depreciation and amortization of property, plant, and equipment and intangibles
Non-GAAP adjustments
Stock compensation
Restructure(Gain) loss on debt repurchases & conversions
Standard Cost FIFO and Cost Absorption

FY-18
$

Other
Adjusted EBITDA$

14,138
222
168
4,759
198
28
385
—
92
19,990

FY-19
$

$

FY-20
6,358
(77)
693
5,424

243
(32)
396
—
205
13,210

$

2,710
80
280
5,650
328
60
(40)
—
—
9,068

$

Amounts in millions
GAAP net income
Interest (income) expense, net
Provision (benefit) for income taxes
Depreciation and amortization of property, plant, and equipment and intangibles
Non-GAAP adjustments
Stock compensation
Restructure

FY-21
$

6,214
395
488
1
293
181

(Gain) loss on debt repurchases & conversions
Standard Cost FIFO and Cost Absorption
Other
Adjusted EBITDA

Micron Confidential

5,861
146
394

$

13,973

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94▪ Non-GAAP Reconciliations
Amount in millions

Q1-17

Q2-17

Q3-17

Q4-17

Gross Debt

GAAP net income

Q3-21

Q4-21

Q1-22

Q2-22

$11,134$7,076$180$894$1,647$2,368$1,735$2,720$2,306$2,263

Interest (income) expense, net

132

153

143

132

38

38

35

43

Provision (benefit) for income taxes

31

38

92

(47)

65

230

219

255

Depreciation and amortization of property, plant, andequipment and intangibles

771

1,003

1,021

1,066

1,557

1,621

1,671

1,742

Stock compensation

46

55

57

57

98

93

116

119

Restructure

29

4

12

(27)

453

22

38

5

-

-

61

37

1

-

83

-

33

40

61

26

7

(3)

(65)

75

$1,222$2,187$3,094$3,612$3,954$4,721$4,403$4,502

Non-GAAP adjustments(Gain) loss on debt repurchases & conversions
Other
Adjusted EBITDA by Quarter

Adjusted EBITDA Trailing Twelve Months

Leverage ratio (Gross Debt
/ Adjusted EBITDA)

Micron Confidential$10,115$17,580

1.1

0.4

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Q&A

Sanjay Mehrotra

Sumit Sadana

Scott DeBoer

Manish Bhatia

Mark Murphy

President and CEO

EVP, Chief Business Officer

EVP, Technology and Products

EVP, Global Operations

EVP, Chief Financial Officer

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Thank you

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