Chip industry
Infineon earns almost a quarter less and makes forecast
The semiconductor group suffers from the weak dollar and the US tariffs. Nevertheless, he raises his forecast, which was only reduced three months ago – because it is not quite as bad as feared.
Down, forecast: The semiconductor group Infineon has earned significantly less in the third quarter of its financial year, but looks forward more confidently. From April to June, the company from Neubiberg near Munich made 305 million euros in profit. That was 24 percent less than a year ago. Among other things, the weak US dollar pressed the business because the group’s sales are particularly important in this currency. However, they remained stable at 3.7 billion compared to the previous year.
After all, compared to the second business quarter, Infineon was able to increase its profit by 73 million euros. At the end, the group had recently corrected its forecast. Now he lifts her again. Although the prospects for the dollar are worse than assumed three months ago, the margins should be somewhat higher than forecast.
Customs: Infineon no longer comes from the worst case
This is mainly due to the US tariffs. The meetings Infineon hardly directly, as Hanebeck explains, but the group gets the indirect effects on its customers – for example through the suffering auto industry. When lowering the forecast three months ago, the worst case was taken into account, says the Infineon boss. However, this did not occur. Overall, however, the indirect effects of trade conflicts are very difficult to assess, he says.
The result also has a positive effect on the fact that Infineon apparently progresses well with its savings program announced last year. In the end, it should save a high three -digit million amount a year, CFO Sven Schneider expects almost half of them to be reached in the current year – more than originally planned. The savings program also includes the reduction of 1,400 jobs and the relocation of a further 1,400 to countries with lower costs. Here they have now made agreements with all affected employees in Europe, said Hanebeck.
Overall, the Infineon boss evaluates the numbers as “solid results in a very volatile environment”. It also helps that the inventory has now reached the customer at a healthy level, as he says. Finally, too large stocks had burdened demand. “However, our customers and we continue to navigate in an overall economy and geopolitically insecure environment.”
dpa
Source: Stern
