Infineon Technologies AG, a prominent semiconductor manufacturer based in Germany, announced on Tuesday a significant decline in its first-quarter profits. The company's net income dropped by 58% to €246 million, compared to the previous year's €587 million. Earnings per share from ongoing operations also fell sharply, standing at €0.18—a decrease of 60% from last year’s €0.45.
When adjusted, earnings per share from continuing operations were recorded at €0.33, down from €0.53 a year earlier. The firm's quarterly revenue experienced an 8% reduction, amounting to €3.42 billion, as opposed to €3.70 billion in the prior year.
Looking forward, Infineon forecasts a revenue of approximately €3.6 billion for the second quarter. The Segment Result Margin is expected to be within the mid-teens percentage range.
Additionally, for the fiscal year 2025, Infineon anticipates stable to slightly increased revenue compared to the previous year, revising its earlier prediction of a minor revenue decline. The adjusted gross margin is projected to hover around 40%, with the Segment Result Margin anticipated to be in the mid-to-high teens percentage range.
