Infineon Technologies, Europe's second-largest maker of semiconductors, reported a tenth straight loss as sales to the motor industry slumped.
Net loss in the three months ended June 30th narrowed to €23 million from €258 million in the fiscal second quarter, Neubiberg, Germany-based Infineon said in a statement today.
Infineon expects sales in the fourth quarter to be better than in the previous three months. The company has suffered as the motor industry's sales have dropped amid the global crisis, reducing demand for the semiconductors made by the German company. That has partly been made up by chip sales to mobile-phone makers such as LG Electronics and Apple .
"We improved our operational performance considerably during the third quarter compared to the previous quarter," chief executive officer Peter Bauer said in the statement.
Infineon has gained more than sevenfold since reaching a low of 36 cents in Frankfurt trading in March. The stock recovered after the company restructured its finances by issuing debt and selling its wireline communications unit to an affiliate of San Francisco-based private equity firm Golden Gate Capital.
The stock fell 3.6 per cent to €2.65 yesterday, giving Infineon a market value of €2.88 billion.
Bloomberg