Financial Results
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Safe Harbor Statement
During the course of this meeting, we may make projections or other forward-looking statements
regarding future events or the future financial performance of the Company and the industry. We
wish to caution you that such statements are predictions and that actual events or results may differ
materially. We refer you to the documents the Company files from time to time with the Securities
and Exchange Commission, specifically the Company’s most recent Form 10-K and Form 10-Q.
These documents contain and identify important factors that could cause the actual results for theCompany to differ materially from those contained in our projections or forward-looking statements.
These certain factors can 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 anyof the forward-looking statements after the date of the presentation to conform these statements toactual results.

March 29, 2022

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Sanjay Mehrotra
President and CEO

March 29, 2022

4Highlights▪ Delivered excellent performance in FQ2 with results above the highend of our guidance; grew revenue and margins sequentially▪ SSD products achieved record revenue; auto market revenues alsoreached an all-time high▪ Industry-leading 1-alpha DRAM and 176-layer NAND technology

node ramps delivering strong cost reductions▪ Portfolio transformation continues to gain momentum. We lead theindustry on the DDR5 transition and are growing our mix of NVMe
data center SSDs
▪ On track to deliver record revenue and robust profitability in fiscal

2022
March 29, 2022

5Technology▪

1z and 1-alpha DRAM combined represented the majority of our DRAM bit
shipments in FQ2▪

176-layer NAND represented the majority of our NAND bit shipments in FQ2▪

Our 1-alpha DRAM and 176-layer NAND products are achieving excellent yields,
providing us with solid front-end cost reductions and contributing meaningful revenue▪

Qualified additional products on 1-alpha and 176-layer NAND node in FQ2 with abroad set of customers, which sets us up for continued strong revenue ramp in thesecond half of the fiscal year▪

Investing to maintain technology leadership for the next decade and making good
progress in the development of future technology nodes

March 29, 2022

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Operations▪

Micron is the industry leader in quality, with the majority of our customers ranking us
No. 1

▪

Have strengthened our position as a strategic supplier to our customers, as
demonstrated by our commitment to supply continuity▪

In late December, a government mandated COVID-19 lockdown impacted production
output at our back-end facility in Xi’an, China; The Micron team executed with tenacity
to return the Xi’an site back to normal output levels post lockdown; mitigated the lost
output from Xi’an and delivered on our customer commitments for the quarter byleveraging our global manufacturing network▪

We maintain appropriate inventories of materials and noble gases; currently do not
expect any negative impact to our near-term production volumes because of theRussia-Ukraine war, but we do expect an increase in our costs as we secure supply ofcertain raw materials that could be at risk

March 29, 2022

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End Market Highlights

Data Center

PC & Graphics▪

Data center revenue in FQ2 grew
>60% year over year▪

PC: Saw recovery in our client revenue,
driven by enterprise PCs▪

Broadened the qualifications for
1-alpha DRAM products; well
positioned for DDR5 transition▪

▪

Introduced the 7450 – industry’s first176-layer vertically integrated data
center NVMe SSD; robust progress inqualifications of our data center NVMe
SSD drives

Client DDR5 demand continues tooutstrip supply; launched our 2400
NVMe SSD, world’s first client SSD on
176-layer QLC NAND

March 29, 2022▪

Mobile & Intelligent Edge▪

Mobile: 5G transition continues insmartphones. Achieved 1st qualificationof 1-alpha LP5 DRAM. Seeing a verystrong revenue ramp for our 176-layer
NAND UFS products▪

Auto: Auto revenues set a new record.
New EVs are becoming like data
centers on wheels; over 100 new EV
models to launch worldwide in thiscalendar year alone▪

Industrial: ~60% Y/Y revenue growth in
FQ2, fueled by the continued ramp in
applications such as factory automationand security systems

Graphics: Strong demand for the latest
generation of gaming consoles andgraphics cards

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Outlook

Industry

MicronMarch 29, 2022▪

Expect CY-22 industry bit demand growth to be in the mid to high teens for DRAM andapproximately 30% for NAND▪

Currently, we see a healthy supply-demand balance across both DRAM and NAND▪

Non-memory component shortages are improving, and we expect that further improvements
should support memory and storage demand growth for rest of this year▪

Our CY-22 bit supply growth for DRAM and NAND remains unchanged from prior expectations
and will be in line with industry demand▪

On track to deliver record revenue with solid profitability in FY-22, and we continue to expect
strong bit shipment growth in the second half of the fiscal year▪

We expect our cost reductions to outpace that of the industry this year driven by the exceptionallywell executed ramp of our world class 1-alpha DRAM and 176-layer NAND nodes

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Sumit Sadana
Chief Business Officer and Interim CFO

March 29, 2022

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FQ2-22 Revenue$7.8B
Revenue up 1% Q/Q and up 25% Y/Y

March 29, 2022

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Performanceby Technology
73% of total revenue in FQ2-22▪ Revenue up 2% Q/Q and up 29% Y/Y▪ Bit shipments increased in the high-single-digit percent range Q/Q▪ ASPs decreased in the mid-single-digit percent range Q/Q▪

DRAM

25% of total revenue in FQ2-22▪ Revenue up 4% Q/Q and up 19% Y/Y▪ Bit shipments flat Q/Q▪ ASPs increased in the mid-single-digit percent range Q/Q▪

NAND
March 29, 2022

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Revenue by Business Unit
FQ2-22

FQ1-22

Q/Q % Change

FQ2-21

Y/Y % Change

Compute and Networking (CNBU)$3,461$3,4062%$2,636​

31%

Mobile (MBU)$1,875$1,907(2)%$1,811​

4%Storage (SBU)$1,171$1,150

2%

$850​

38%

Embedded (EBU)$1,277$1,220

5%

$935​

37%

Amounts in millions

March 29, 2022

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FQ2-22
Non-GAAP Operating Results
Revenue: $7.8 billion
Gross Margin: 47.8%
Operating Expenses: $974 million
Operating Income: $2.8 billion
Net Income: $2.4 billion

Diluted EPS: $2.14
Adjusted EBITDA: $4.5 billion
Cash from Operations (GAAP): $3.6 billion

March 29, 2022

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Cash Flow
and Capital
Allocation
From FY-19 to FQ2-22, generated
approximately $9 billion of free
cash flow*$4.7 billion towards repurchasing 94 million shares▪ $800 million toward settling convert premiums which
reduced diluted share count by 19 million shares▪ $5.8 billion returned to shareholders from share
repurchases, convert premiums, and dividends▪

Cash Flow fromOperations
Net CapEx1▪

FQ2-22: $3.6B (47% of revenue)

FQ2-22: CapEx of $2.6B▪ FY-22: CapEx guidance of $11B to $12B
▪

FCF*

▪

FQ2-22: $1.03B

Buybacks▪

FQ2-22: $408M (4.8M shares)

Dividends

Dividend payment of $0.10 per share will be
paid April 26th

Liquidity2$14.4B in liquidity at end of FQ2-22

Cash3-Debt$4.9B of net cash at end of FQ2-22

1CapEx net of amounts funded by partners and proceeds from sales of property, plant, and equipment
2Cash, short-term and long-term marketable investments, restricted cash, and undrawn revolver capacity
3Cash, short-term and long-term marketable investments, and restricted cash
*Free cash flow is a non-GAAP measure defined as net cash provided by operating activities less net investments in capital expenditures adjusted for amounts funded by partners and proceeds from sales of PP&E.

March 29, 2022

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FQ3-22 GuidanceNon-GAAP
Revenue
Gross margin
Operating expenses
Diluted EPS*

*Based on ~1.14 billion diluted shares
March 29, 2022

$8.7 billion ± $200 million
48.0% ± 1%
$1.05 billion ± $25 million$2.46 ± $0.10

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Other key data
March 29, 2022

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Financial Summary
Non-GAAP

Amounts in millions, except per share

FQ2-22% ofRevenue

FQ1-22% ofRevenue

FQ2-21% ofRevenue

Revenue$7,786100%$7,687100%$6,236​100%​

Gross margin

3,724

48%

3,616

47%

2,054​

33%​

Operating income

2,750

35%

2,725

35%

1,257​

20%​

Income tax (provision) benefit(286)

Net income

2,444

Diluted earnings per share

2.14

2.16

0.98​

Cash provided by operating activities (GAAP)

3,628

3,938

3,057​

Cash, marketable investments, and restrictedcash (GAAP)

11,947

11,4808,567​

See non-GAAP reconciliations
March 29, 2022

(125)​

(240)
31%

2,471

32%

1,128​

18%​

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Non-GAAP Financial Data and Guidance% of Revenue

FQ2-22 Non-GAAP

FQ2-22

DRAM

73%

NAND

25%

(amounts in millions,
except per share)

Revenue$

Gross margin% Sales Volume Change

FQ2-22 Q/Q

DRAM

Increased high single-digit
percent range

NAND

Flat

7,786

48.0% ± 1%

Operating expenses$

974$1.05 billion ± $25 million

Diluted earnings per share

$

2.14

$2.46 ± $0.10

FQ2-22 Non-GAAP

DRAM

NAND

See non-GAAP reconciliations
March 29, 2022

FQ2-22 Q/Q
Decreased mid-singledigit percent range
Increased mid-single-digit
percent range$8.7 billion ± $200 million

47.8%(amounts in millions)% ASP Change

FQ3-22
Non-GAAP Guidance

Diluted shares

FQ3-22
Non-GAAP Estimates

1,143~1.14 billion

Income tax (provision) benefit

$

(286)

~10%

Cash from operations (GAAP)

$

3,628

—

Depreciation and amortization

$

1,737

—

Investments in capex, net(capital cash flow)

$

2,600

FY-22: $11 billion to $12 billion

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Revenue by Technology
Amounts in millions

FQ2-22% ofRevenue

FQ1-22% ofRevenue

FQ2-21% ofRevenueDRAM$5,71973%$5,58773%$4,444​

71%​

NAND

1,957

25%

1,878

24%

1,650​

26%​

Other

110

1%

222

3%

142​

2%​

Total

$7,786100%$7,687100%$6,236​100%​

Percentages of total revenue may not total 100% due to rounding.
March 29, 2022

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Non-GAAP Reconciliations
March 29, 2022

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Consolidated Results
Non-GAAP Reconciliations
Amounts in millions
GAAP gross margin

FQ2-22$

FQ1-22

3,676$

FQ2-21

3,565

$

1,649

Stock-based compensation

44

43

57

Inventory accounting policy change to FIFO

—

—

133

Change in inventory cost absorption

—

—

160

3D XPoint inventory write-down

—

—

49

Other

4

8

6

Non-GAAP gross margin

$

3,724

$

3,616

$

2,054

GAAP operating expenses

$

1,130

$

934

$

986

Stock-based compensation

(75)

(73)

(55)

Patent license charges

—

—

(128)

Restructure and asset impairments

(5)

(38)

(5)

Other

(76)

68

(1)

Non-GAAP operating expenses

March 29, 2022

$

974

$

891

$

797

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Consolidated Results
Non-GAAP Reconciliations
Amounts in millions

GAAP operating income

FQ2-22$

FQ1-222,546$

FQ2-21

2,631

$

663

Stock-based compensation

119

116

112

Inventory accounting policy change to FIFO

—

—

133

Change in inventory cost absorption

—

—

160

3D XPoint inventory write-down

—

—

49

Patent license charges

—

—

128

Restructure and asset impairments

5

38

5

Other

80

(60)

7

Non-GAAP operating income

March 29, 2022

$

2,750

$

2,725

$

1,257

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Consolidated Results
Non-GAAP Reconciliations
Amounts in millions
GAAP cost of goods sold

FQ2-22$

FQ1-224,110$

FQ2-21

4,122

$

4,587

Stock-based compensation

(44)

(43)

(57)

Inventory accounting policy change to FIFO

—

—

(133)

Change in inventory cost absorption

—

—

(160)

3D XPoint inventory write-down

—

—

(49)

Other

(4)

(8)

(6)

Non-GAAP cost of goods sold

$

4,062

$

4,071

$

4,182

GAAP research and development

$

792

$

712

$

641

Stock-based compensation

(45)

(38)

(29)

Other

(1)

—

(1)

Non-GAAP research and development

$

746

$

674

$

611

GAAP selling, general and administrative

$

263

$

259

$

214

Stock-based compensation
Non-GAAP selling, general and administrative

March 29, 2022

(30)
$

233

(35)
$

224

(26)
$

188

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Consolidated Results
Non-GAAP Reconciliations
Amounts in millions
GAAP net income
Stock-based compensation
Inventory accounting policy change to FIFO

FQ2-22$

Change in inventory cost absorption
3D XPoint inventory write-down
Patent license charges
Restructure and asset impairments
Amortization of debt discount and other costs(Gain) loss on debt repurchases and conversions
Other
Estimated tax effects of above and other tax adjustments
Non-GAAP net income$

GAAP interest (income) expense, net
Amortization of debt discount and other costs
Non-GAAP interest (income) expense, net$

GAAP income tax (provision) benefit

March 29, 2022

2,263
119
—

$

$

603
112
133

—
—
—
38
9

160
49
128
5
8

—
80
(31)
2,444

83
(60)
(21)
2,471

—
7
(77)
1,128

$

$

$
$

(255)
(286)

$

$

$

35
(9)
26

$

32
(8)
24

$

(219)

$

(48)

(31)
$

2,306
116
—

FQ2-21

—
—
—
5
8

43
(8)
35

Estimated tax effects of non-GAAP adjustments and other tax adjustments
Non-GAAP income tax (provision) benefit

FQ1-22

(21)
$

(240)

(77)
$

(125)

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Consolidated Results
Non-GAAP Reconciliations
Amounts in millions

FQ2-22GAAP shares used in diluted EPS calculations
Adjustment for stock-based compensation
Non-GAAP shares used in diluted EPS calculations

1,130
13
1,143

GAAP diluted earnings per share
Effects of non-GAAP adjustments
Non-GAAP diluted earnings per share$

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-based compensation
Inventory accounting policy change to FIFO
Change in inventory cost absorption
3D XPoint inventory write-down
Patent license charges
Restructure and asset impairments$(Gain) loss on debt repurchases and conversions
Other
Adjusted EBITDA
March 29, 2022

FQ1-22$$

FQ2-21

1,130
9
1,141

2.00
0.14
2.14

$

2,263
43
255
1,742

$

$

1,144
10
1,154

2.04
0.12
2.16

$

2,306
35
219
1,671

$

$

0.53
0.45
0.98
603
32
48
1,549

119
—
—
—
—
5

116
—
—
—
—
38

112
133
160
49
128
5

—
75
4,502

83
(65)
4,403

—
—
2,819

$

$

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Consolidated Results
Non-GAAP Reconciliations
Amounts in millions
Net cash provided by operating activities

FQ2-22$

Expenditures for property, plant, and equipment

FQ1-22

3,628

$

3,938

FQ2-21$

3,057(2,611)(3,265)(3,018)Proceeds from sales of property, plant, and equipment

27

21

18

Payments on equipment purchase contracts

(27)

(78)

(26)

Amounts funded by partners

11

55

143

(2,600)(3,267)(2,883)

Investments in capital expenditures, net
Adjusted free cash flow

$

1,028

$

Amounts in millions
Cash and short-term investments

671$

FQ2-22$Current and noncurrent restricted cash

10,122

174

FQ1-22
$

9,580

108

83

Long-term marketable investments

1,717

1,817

Current and long-term debt

(7,076)(7,022)

Net cashMarch 29, 2022

$

4,871

$

4,458

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FQ3-22 GuidanceNon-GAAP Reconciliations

GAAP
Revenue

Adjustments$8.7 billion ± $200 million—

47.0% ± 1%

1%

A

48.0% ± 1%

$1.13 billion ± $25 million$80 millionB$1.05 billion ± $25 million$2.33 ± $0.10$0.13

Gross margin

Operating expenses

Non-GAAP

Diluted EPS*

$8.7 billion ± $200 million

A,B,C$2.46 ± $0.10

Adjustments (amounts in millions)A

Stock-based compensation – cost of goods soldA

Other – cost of goods sold

5

B

Stock-based compensation – research and development

47

B

Stock-based compensation – sales, general, and administrative

33

C

Tax effects of the above items and other tax adjustments

1

$

$

56

142

*GAAP EPS based on ~1.13 billion diluted shares and non-GAAP EPS based on ~1.14 billion diluted shares.
The above guidance does not incorporate the impact of any potential business combinations, divestitures, restructuring activities, balance sheet valuation adjustments, strategic investments, financing transactions, and othersignificant transactions. The timing and impact of such items are dependent on future events that may be uncertain or outside of our control.
March 29, 2022

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