LONDON – Infineon Technologies AG has announced that its revenue for the fourth fiscal quarter, which ends on Sept. 30, will be better than previously expected. However, much of the improved performance is attributed to the wireless business unit, which is in the midst of being sold to Intel Corp.
Infineon (Neubiberg, Germany) said it now expects to see fiscal Q4 revenues rise sequentially by approximately 15 percent. This compares to a forecast given on July 28, 2010, when Infineon said it expected revenues to rise sequentially by a high single-digit percentage.
The Wireless Solutions (WLS) division made a disproportionately higher contribution to the increase in guidance driven especially by higher than expected smartphone sales, Infineon said in a statement.
For the full financial year also ending on Sept. 30 Infineon now expects revenues to rise by approximately 50 percent compared to the the full 2009 fiscal year.
When Infineon reports its figures for the fourth quarter and fiscal year 2010 on November 16 the wireless business will be reported as "discontinued operations" and the remaining business of Infineon will be presented as "continuing operations," the company said.
For the first quarter of the 2011 fiscal year, Infineon expects revenues from the continuing operations excluding Wireless Solutions to be at least on the same level as in the fourth quarter of the 2010 fiscal year excluding WLS.
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