Chipmaker Micron Technology said its sales increased 40 percent to 7.80 billion in the third quarter ended May 31, 2018.
Net income rose to $3.82 billion, or $3.10 per share, in the quarter, from $1.65 billion, or $1.40 per share, a year earlier.
The Boise, Idaho-based company’s gross margins rose 81 percent to $4.72 billion in the quarter.
Revenue from dynamic random access memory (DRAM) chips used in computers and servers surged 56 percent in the third quarter, accounting for over 71 percent of its net sales.
Analysts said the chipmaker benefited from a strong demand for its memory chips used in computers and smartphones amid tight supply.
The company has been selling more memory chips at higher prices as customers look to store data and apps in smartphones and companies shift to cloud.
Micron said it expects revenue in the range of $8.0 billion and $8.4 billion in the fourth-quarter of 2018.
