SanDisk reported $8.97 billion in quarterly revenue, up 51% sequentially; price increases contributed approximately two-thirds of the growth.

SanDisk reported fiscal fourth-quarter revenue of $8.97 billion, an increase of 51% from the preceding quarter. The result exceeded the company’s prior revenue guidance of $7.75 billion to $8.25 billion.

Approximately two-thirds of the sequential revenue increase came from higher product prices, while the remainder came from increased storage-bit shipments. Gross margin rose to 84.6% from 78.4% in the preceding quarter and exceeded the company’s prior guidance range of 79% to 81%.

For the next quarter, SanDisk projected revenue of $10.3 billion to $10.8 billion, earnings per share of $44 to $46, and gross margin of 83% to 85%. Bank of America maintained a $2,500 price target and said it had not yet seen clear evidence that SanDisk’s storage pricing and profitability had peaked.