Infineon’s Q1 earnings to underperform
Infineon's automotive and industrial segment is forecast to make revenues of euro 452 million and an EBIT of euro 50 million. These lowerthan- expected figures are partly due to the company's decision to reduce inventory levels, resulting in a decline in fab utilisation.
The firm's wireline communications business is forecast to achieve revenues of euro 106 million and a negative EBIT of euro 29 million. Results for the company's secure mobile solutions business are forecast to be in line with the outlook the company provided when it announced its fourth quarter results, revenues expected to hit euro 439 million and EBIT euro 2 million.
Revenues in the memory products segment are expected reach euro 766 million while EBIT is forecast to hit Euro 196 million. The company says that while bit production has slightly increased, shipments have declined due to an anticipated increase in inventory levels.
