ASIA TECHNOLOGY TRACKER

研报英文原文证据摘录

ASIA TECHNOLOGY TRACKER

Durable Earnings

Floor; Capital Return Pivot Post-Dec 2026 Adds Another Value Unlock Lever; Reit OW (Harlan Sur)

Results and guidance were far ahead of pre-call Street and buy side expectations, but to us the even more

meaningful development was MU’s substantial expansion of its Strategic Customer Agreements (SCAs)

from a single 5-year contract (announced last qtr) to 16 signed agreements, a step-change that in our view

fundamentally transforms MU’s business model from cyclical commodity producer to multi-year contracted

supplier with significant downside protection on both revenue and margins. May-Qtr revenue of $41.5B

(+74% Q/Q, +346% Y/Y) leapfrogged Street consensus ($35.6B) with both DRAM and NAND ASPs

continuing to surge (DRAM +63% Q/Q, NAND +87%% Q/Q, per JPMe) as supply remains structurally

constrained, and GM% reached an all-time high at 84.9%. Aug-Qtr guidance (rev/GM/EPS of $50B/~86%/

$31) implies another sequential step-up, though mgmt has guided to a “meaningful moderation in the rate of

price increases” (consistent with our pre-call expectations), though in our view the pricing growth trajectory

from here matters less than the durability of the price levels already achieved, which the SCA framework

increasingly anchors. The 16 signed SCAs include 4 large customers (which we suspect include both

hyperscalers and a major consumer device OEM), 3 medium-sized customers, and the remainder smaller

auto customers, and collectively account for ~20% of MU’s DRAM volume and ~33% of NAND volume

across the agreement term (CY26-CY30), with mgmt targeting ~50% or more of company revenue under

SCA commitments when all planned agreements are executed. Critically, the 14 of 16 SCAs with defined