Infineon: posts robust results in 'difficult conditions'
(CercleFinance.com) - Auto and industrial chipmaker Infineon's first-quarter operating profit fell by 17%, which was still slightly better than expected.
The German company's "segment result" for the quarter ending in December fell to 297 million euros from 359 million euros last year.
Revenue fell in line with expectations, down 3% at 1.92 billion euros.
"Headline revenue is 1% below consensus but adjusted EBIT is 16% better," analysts at UBS commented in a reaction note.
In its statement, Infineon said its "well-diversified" business performed robustly under "difficult conditions."
"Our cost reduction measures are beginning to take effect," it said.
Demand for the latest generation of silicon microphones is growing dynamically, Infineon added, while also seeing signs of improvement in individual areas such as the server market.
For the second quarter of its fiscal year 2019/2020 the group expects revenues to rise by 5%, with an operating margin of about 14%.
The shares were up 7% in Frankfurt after these results.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
The German company's "segment result" for the quarter ending in December fell to 297 million euros from 359 million euros last year.
Revenue fell in line with expectations, down 3% at 1.92 billion euros.
"Headline revenue is 1% below consensus but adjusted EBIT is 16% better," analysts at UBS commented in a reaction note.
In its statement, Infineon said its "well-diversified" business performed robustly under "difficult conditions."
"Our cost reduction measures are beginning to take effect," it said.
Demand for the latest generation of silicon microphones is growing dynamically, Infineon added, while also seeing signs of improvement in individual areas such as the server market.
For the second quarter of its fiscal year 2019/2020 the group expects revenues to rise by 5%, with an operating margin of about 14%.
The shares were up 7% in Frankfurt after these results.
Copyright (c) 2020 CercleFinance.com. All rights reserved.