Sandisk's Fiscal Q1 Report on Oct. 29 to Test Sustained Flash Memory Price Gains
Sandisk (SNDK) is preparing for its fiscal first-quarter earnings report due on October 29, following a period of strong revenue and margin growth driven largely by rising flash memory prices. In the previous downturn from late 2022 to mid-2023, Sandisk's sales dropped 38% as average selling prices fell sharply, dragging down gross margins significantly — even leading to quarterly losses in early 2023. The recent recovery has been fueled by a rebound in pricing. In fiscal Q4 (ended July 2026), two-thirds of the $1 billion sequential revenue increase came from higher average selling prices per gigabyte, with gross margins rising sharply — reaching as high as 84.6%. However, Sandisk's guidance for fiscal Q1 suggests a slowdown in price growth and expects modest increases instead. The October report will be closely watched to see if pricing gains continue or begin reversing. A drop below expected gross margin levels could signal an early warning of another downturn similar to the 2023 period.
Topics: flash_memory gross_margin pricing_strategy revenue_trends