Weak dollar erodes Infineon's profits

Infineon, the world's fourth largest computer chip maker, says its earnings fell to €34m in the period from October to December, compared to €49m for the first quarter.

The German company said the decline in profits was as a result of falling prices and the weak dollar.

Underlying profits, as measured by earnings before interest and tax (EBIT), improved slightly, rising to €70m from €67m in the preceding quarter. Sales fell 7.6% to €1.6bn.

Infineon was founded in 1999 when the semiconductor operations of its parent, Siemens, were spun off to form a separate entity. It designs, develops and manufactures a broad range of semiconductors.

Infineon employs approximately 60 people in Ireland and worldwide, the company employs 30,000 people in five countries.