Infineon Reports Year and Q4 2001 Results
Infineon Technologies AG (Munich, Germany) announced results for its fiscal year 2001 ended September 30, 2001, with revenues of Euro 5.67 billion, a decrease of 22 percent from the previous fiscal year.
EBIT (earnings before interest and taxes) decreased to a loss of Euro 1.02 billion, down from a positive EBIT of Euro 1.67 billion in fiscal year 2000. The loss includes charges of Euro 358.0 million in connection with inventory write-downs, acquisition-related expenses of Euro 111.0 million, restructuring charges of Euro 117.0 million, impairment charges of Euro 25.0 million and gains from the sale of non-core businesses of Euro 235.0 million. Excluding these write-downs, expenses, charges and gains, EBIT amounted to a loss of Euro 648.0 million.
Net loss amounted to Euro 591.0 million, down from earnings of Euro 1.13 billion last fiscal year. The net loss reflects an income tax benefit of Euro 428.0 million. Loss per share for fiscal year 2001 was Euro 0.92, compared with earnings per share of Euro 1.83 in fiscal year 2000.
"Infineon has delivered a strong performance in its businesses based on our technology leadership and expanded system-solutions expertise in a very difficult market environment. However, market conditions significantly deteriorated, especially for memory products and wireless communications, which clearly impacted Infineon's overall business development," commented Ulrich Schumacher, president and CEO of Infineon Technologies AG. "We are making significant progress in the implementation of our comprehensive Impact cost-saving program aimed at reducing operating costs by more than Euro 1.0 billion until the end of the 2002 fiscal year."
Fourth-quarter revenues were Euro 1.09 billion, a decrease of 54 percent year-on-year and 15 percent from the previous quarter of this fiscal year. EBIT decreased to a loss of Euro 882.0 million, down from a positive EBIT of Euro 807.0 million in the same quarter last year, and down from a loss of Euro 598.0 million in the third quarter of this year.
Net income in the fourth quarter decreased to a loss of Euro 523.0 million, down from net income of Euro 581.0 million during the same quarter of the last fiscal year, and down from a loss of Euro 371.0 million in the previous quarter of this year. Loss per share was Euro 0.76, compared with earnings per share of Euro 0.93 in the fourth quarter of the last fiscal year, and loss per share of Euro 0.59 in the third quarter of this year.