Wednesday, September 30, 2009 9:38:33 AM
"In the last four to six weeks the situation has changed," Schroeter, who is also a member of Infineon's management board, said in a recent interview with Dow Jones Newswires, echoing more positive recent comments from firms across the sector.
Earlier this month Dutch semiconductor equipment maker ASML Holding NV (ASML.AE) raised its sales expectations for the September and December quarters, as did industry heavyweight Texas Instruments Inc. (TXN) for its September quarter.
Demand, especially from industrial and automotive customers, has increased, Schroeter said. Moreover, "we now have visibility into the next two quarters and it looks better than six weeks ago," he said. "However, quarterly growth rates could flatten in the second quarter," but won't see such a sharp declineas in the first fiscal quarter of 2009, which ends Dec. 31, he added.
Infineon supplies logic chips used in the communications, automotive and industrial sectors. Its products are also used for passports and chips used on cell-phone SIM cards and credit cards.
Still, it could take three years until Infineon reaches the sales level prior the crisis, Schroeter said, but the signs are encouraging.
Infineon's book-to-bill ratio now stands at above 1 times, up from a floor of 0.6 times in the December quarter last year, Schroeter said.
As a result of the improved conditions, Infineon has now scrapped the shorter working hours previously brought in to mitigate the effects of the slump and factory utilization has recovered to almost full utilization from the levels of around 40%-60% seen in recent months, he said.
Referring to Infineon's fourth quarter results for the period ending Sept. 30, Schroeter said: "We won't disappoint market expectations," without elaborating.
According to a poll of Dow Jones Newswires of three analysts, fourth quarter operating profit of EUR28 million and sales of EUR832 million are expected. Estimates exclude Infineon's wireline operations.
Infineon said in July it will sell its wireline operations to U.S. private-equity firm Golden Gate Capital LLC for EUR250 million and the closing of the transaction is expected within the next few weeks.
After a recent capital increase in which Infineon raised EUR725 million the Neubiberg, near Munich-based company will be able to refinance its debt and has built up a solid cash position.
Schroeter said the company has no acquisition targets in mind right now, but might consider an acquisition after a minimum of two-to-three quarters of strong operating performance.
Meanwhile, Schroeter poured cold water on recent market speculation that Russian conglomerate AFK Sistema (AFKS.RS) might take a major stake in Infineon.
"We were in talks with Sistema earlier this year," Schroeter said, "but after the successful completion of our rights offering in August we are currently no longer in talks for an investment from an anchor shareholder into the company."
Recent IDCC News
- InterDigital to Showcase Excellence in Broadcast and Immersive Video Solutions at IBC 2024 • GlobeNewswire Inc. • 08/29/2024 08:00:00 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/22/2024 12:17:49 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 08/20/2024 08:06:55 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/20/2024 01:05:55 PM
- More than half of connected devices will be haptic enabled by 2028, revealing exciting opportunity for immersive video • GlobeNewswire Inc. • 08/20/2024 08:00:00 AM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 08/19/2024 08:19:03 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 08/19/2024 12:28:06 PM
- InterDigital Announces 2024 Investor Day • GlobeNewswire Inc. • 08/01/2024 12:45:00 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 08/01/2024 12:35:02 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 08/01/2024 12:32:54 PM
- Interdigital Announces Financial Results for Second Quarter 2024 • GlobeNewswire Inc. • 08/01/2024 12:30:21 PM
- InterDigital signs license agreement with Panasonic • GlobeNewswire Inc. • 08/01/2024 08:30:00 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/26/2024 12:52:36 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/26/2024 12:48:39 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/26/2024 12:47:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/26/2024 12:45:22 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/26/2024 12:40:30 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/26/2024 12:37:32 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/26/2024 12:31:56 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/26/2024 12:30:03 PM
- InterDigital Announces Date for Second Quarter 2024 Financial Results • GlobeNewswire Inc. • 07/18/2024 12:30:00 PM
- UK Court of Appeal rules in favor of InterDigital in dispute with Lenovo • GlobeNewswire Inc. • 07/12/2024 01:10:00 PM
- InterDigital Announces Convertibility of 3.50% Senior Convertible Notes Due 2027 • GlobeNewswire Inc. • 07/03/2024 08:00:00 AM
- InterDigital signs license agreement with Google • GlobeNewswire Inc. • 07/02/2024 08:00:00 AM
- Form 11-K - Annual report of employee stock purchase, savings and similar plans • Edgar (US Regulatory) • 06/20/2024 12:30:40 PM
Element79 Gold Corp Appoints Warren Levy to Board of Directors • ELMGF • Aug 28, 2024 9:51 AM
Integrated Ventures Announces Strategic Entry Into Health & Wellness Industry with Focus on GLP-1 Products • INTV • Aug 28, 2024 8:30 AM
ELEMENT79 ANNOUNCES UPLISTING TO OTCQB VENTURE MARKET • ELMGF • Aug 26, 2024 10:03 AM
North Bay Resources Announces Gold Assays up to 2.2 Ounces per Ton, Fran Gold Project, British Columbia • NBRI • Aug 26, 2024 10:00 AM
PickleJar Unveils Latest Venue Managed Services Innovations in Upcoming Webinar • PKLE • Aug 23, 2024 1:11 PM
Element79 Gold Corp Provides Update on Nevada Portfolio • ELMGF • Aug 23, 2024 8:00 AM