Micron raises second-quarter revenue forecast

FILE PHOTO: Micron Technology's solid-state drive for data center customers is presented at a product launch event in San Francisco, U.S., October 24, 2019. REUTERS/Stephen Nellis

(Reuters) - Chipmaker Micron Technology Inc said on Wednesday it is raising its revenue, gross margin and earnings per share forecast for the second quarter, which ends March 4.

The Boise, Idaho-based company has seen greater demand for its chips with a global shift to remote work due to the COVID-19 pandemic and a recent uptick in 5G smartphone adoption.

Micron now expects revenue to be in the range of $6.20 billion to $6.25 billion, from a previous forecast of $5.6 billion to $6 billion. Analysts, on average, were expecting revenue to be $5.86 billion, according to Refinitiv IBES data.

The company also said it expects adjusted earnings to be between 93 cents per share and 98 cents per share, from a previous range of 68 cents per share to 82 cents per share.

Micron is expected to delve deeper into demand drivers at a Morgan Stanley conference later in the day.

Shares of the company were up 1% in pre-market hours.

Reporting by Ayanti Bera in Bengaluru; Editing by Krishna Chandra Eluri