Sandisk forecasts mid-to-high-teens revenue growth through 2030

Aug 13 (Reuters) - Sandisk on Thursday ‌said it ​expects revenue ​to grow at a mid-to-high-teens percentage rate from fiscal years 2028 to 2030, encouraged by strong demand amid rapid AI infrastructure ‌buildout.

The company said the projection is in line with growth ⁠in the amount of storage capacity it produces, a metric the industry calls "bit growth."

Shares of ‌the company were up more ‌than 15%. They have recorded an over sixfold gain so far this year, part of a broader rally among memory chipmakers as investors bet ​on sustained demand from rapid AI infrastructure expansion.

Here are some more details:

• Speaking at Sandisk's Investor Day, finance chief Luis Visoso said the company ⁠expects adjusted gross margins to remain at around 80% over the same period.

• By laying out a ​multi-year framework tied to committed customer volumes, Sandisk is seeking to show that its recent growth can be sustained, rather ​than reflecting a temporary demand spike.

• Under its ‌new business model, Sandisk has signed agreements with eight customers, which include three U.S. hyperscalers, covering about half of ⁠its storage output in fiscal 2027 and two-thirds in fiscal 2028.

• Chief Technology Officer Alper Ilkbahar said Sandisk has taped out its first memory die — or the individual ⁠silicon chip that stores data — for its High Bandwidth Flash technology, and is working to ​deliver initial samples to customers developing AI inference devices next year.

• HBF is a memory chip that combines the speed of high-bandwidth memory used with AI processors and the ‌capacity of flash memory, helping data centers meet the growing memory demands of AI inference — the data crunching that ‌occurs when a user queries a chatbot.

• The outlook builds on Sandisk's financial results ⁠reported last week, when it ‌also forecast first-quarter revenue ​above analyst estimates, citing rising demand for memory chips used in AI data centers.

(Reporting by Anhata Rooprai in Bengaluru; Editing by ‌Maju Samuel)

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