Micron Technology has recorded a 1,400 per cent increase in quarterly profit amid global demand for memory chips used in artificial intelligence systems and data centres.

The firm’s revenue rose to $28.2 billion in the quarter ending May 28, compared with the company’s previous quarterly record of $1.9 billion in the same period last year.

Micron’s revenue also rose 350 per cent year on year to $41.5 billion, with the company forecasting a 422 per cent increase to $50 billion in the current quarter.

The tech firm experienced a 14 per cent rise in after-hours trading, boosting its market value to about $1.3 trillion.

The shortage of high-bandwidth memory chips has driven up prices and demand for Micron’s products, which are used alongside the world’s top processors from companies like Nvidia and AMD.

The company adjusted its gross margin to 84.9 per cent this quarter in response to supply scarcity.

In response to supply shortages that pushed up prices for chipmakers, the company’s adjusted gross margin increased to 84.9 per cent this quarter, up from 39 per cent a year earlier, as the shortages allowed chipmakers to raise prices.