Infineon reports Sequential Quarterly Revenue Drop of 28%

Infineon Technologies reported revenues of Euro 830 million, down 28 percent sequentially and 24 percent year-over-year, for the quarter ending 31-Dec-2008. The sequential decrease reflects a decline in revenues in all of the company's operating segments due to significantly lower demand as a result of the global economic slow-down and inventory corrections throughout the electronics supply-chain. The company's Automotive and Wireless Solutions segments were most severely affected. Overall, the company's revenues were slightly better than forecasted, largely due to the stronger U.S. dollar against the Euro. Excluding effects of currency fluctuations, primarily between the U.S. dollar and the Euro, and acquisitions and divestitures, revenues decreased 32 percent sequentially and 26 percent year-over-year.


Infineon also noted the recent insolvency filing of Qimonda, in which it holds a 77.5 percent share.


As for its networking related activities, Infineon said revenues for its Wireless Solutions segment decreased significantly on a sequential basis, mainly due to the drastic market slow-down and inventory corrections at customers. In particular, one HSDPA customer reduced demand after its high level of demand in the preceding quarter.htttp://www.infineon.com