Infineon: shares up on strong results, 'cautious' optimism
(CercleFinance.com) - Infineon shares opened higher on Monday as investors cheered the chipmaker's "strong" quarterly results and "cautiously optimistic" outlook, which sent the shares up nearly 3%.
The German company's segment result - an indicator of operating profit - rose to 379 million euros in its fiscal fourth quarter, compared with 311 million euros in the year before and mean expectations of 309 million euros.
Infineon, whose chips are used in wind power turbines, home appliances and trains, said its revenue jumped by 21% to 2.5 billion euros in the three months ended 30 September.
"Some of our target markets, especially the automotive sector, have recovered better than expected since the summer," commented CEO Reinhard Ploss.
"In addition, the structural transformation towards electro mobility is accelerating, particularly in Europe," he added.
Also, Infineon provided a "cautiously optimistic" outlook for the new fiscal year.
The company said that it expects full-year revenue of around 10.5 billion euros, with an operating margin of about 16.5%.
In comparison, its margin was 15.2% at the end of September.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
The German company's segment result - an indicator of operating profit - rose to 379 million euros in its fiscal fourth quarter, compared with 311 million euros in the year before and mean expectations of 309 million euros.
Infineon, whose chips are used in wind power turbines, home appliances and trains, said its revenue jumped by 21% to 2.5 billion euros in the three months ended 30 September.
"Some of our target markets, especially the automotive sector, have recovered better than expected since the summer," commented CEO Reinhard Ploss.
"In addition, the structural transformation towards electro mobility is accelerating, particularly in Europe," he added.
Also, Infineon provided a "cautiously optimistic" outlook for the new fiscal year.
The company said that it expects full-year revenue of around 10.5 billion euros, with an operating margin of about 16.5%.
In comparison, its margin was 15.2% at the end of September.
Copyright (c) 2020 CercleFinance.com. All rights reserved.