Infineon posts revenue and income drops -

Infineon has posted its results for the first quarter of its fiscal year 2011, revealing a small drop in revenue and income compared to the previous quarter.

Revenue was at €922 million ($1.3 billion), down two percent compared to the fourth quarter of fiscal 2010, while total sales were flat. This revenue figure was also a two percent drop on the previous year.

Income was also down from €193 million ($265 million) to €149 million ($205 million), while income for discontinued operations was down from €197 million ($271 million) to €83 million ($114 million). Basic earnings per share were down from €0.18 ($0.25) to €0.14 ($0.19). 

Total segment result for the first quarter was €177 million ($243 million), up four percent on the €171 million ($235 million) brought in in the previous quarter. The total segment result margin was also up from 18.2 percent to 19.2 percent, marking a record high.

Infineon forecasts that its revenue will be up slightly in the second quarter of fiscal 2011, while total segment result is expected to be between 18 and 20 percent. For the entire year Infineon has upped its forecast, expecting revenue growth in the mid-teens and total segment result in the high teens.

Infineon also just completed the sale of its mobile phone business to Intel, which has now become Intel Mobile Communications, and this has brought in $1.4 billion in cash for Infineon.