Infineon quarterly revenue beats, improves 2022 chip demand outlook

BERLIN/STOCKHOLM (Reuters) – Infineon, the leading supplier of microchips to the automotive industry, reported higher third-quarter revenue on Wednesday and raised its full-year outlook as it continues to benefit from a global shortage of semiconductors.

Revenue for the Munich-based company reached 3.62 billion euros in the third quarter, beating the 3.42 billion euros expected in a poll of 20 analysts by Vara Research.

Infineon has increased its 2022 revenue for the third time by 500 million euros ($509 million) to approximately 14 billion euros, forecasting fourth-quarter revenue of 3.9 billion euros. , ahead of expectations by 3.65 billion euros.

Rival STMicro had also reported higher-than-expected quarterly revenue and raised its revenue forecast for 2022.

Infineon had benefited from a tailwind due to a global shortage of semiconductors, but several chipmakers have recently warned that demand is slowing.

“Rising energy costs, commodity prices and interest rates, the ongoing pandemic and geopolitical uncertainties are hampering economic growth,” chief executive Jochen Hanebeck said in a statement.

“In some consumer-focused end markets, demand has weakened recently,” he said.

The company also reported operating profit of 690 million euros, beating expectations of 679 million euros.

($1 = 0.9824 euros)

(Reporting by Kirsti Knolle in Berlin and Supantha Mukherjee in Stockholm; Editing by Maria Sheahan and Terje Solsvik)

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