Electrification and Digitization Create Sustainable Value: Ahead of Capital Markets Day, Infineon Confirms FY21 Forecast and Provides FY22 Outlook
October 5, 2021| Economic and financial press
- Today, Infineon is hosting IFX Day 2021 for investors in a virtual format; motto: Electrification + Digitization = Sustainable Value!
- Forecasts for fiscal year 2021 fully confirmed, based on preliminary figures: around 11 billion euros in sales, segment profit margin above 18%, investments of around 1.6 billion euros euros, free cash flow of around 1.5 billion euros
- For fiscal year 2022, based on an assumed exchange rate of US $ 1.20 per euro, revenue is expected to increase sharply by a mid-teens percentage, segment profit margin is estimated at about 20%. Investments will be increased to around 2.4 billion euros, while maintaining a level of free cash flow of around 1 billion euros
Munich, Germany – October 5, 2021 – Infineon Technologies AG (FSE: IFX / OTCQX: IFNNY) provides an update on its strategy, business performance and long-term outlook as well as its outlook for fiscal year 2022. Overall Management Board of Directors and heads of the four business lines to discuss market and technology developments, structural growth drivers, the state of Cypress integration and financial value creation , based on the target operating model throughout the cycle of 9% + revenue growth, 19% Segment profit margin and 13% investment over sales.
“CO 2 downsizing and the desire to make things smart and securely connected are major trends across all industries. Electrification and digitization are age-old themes, and semiconductors are essential for both, ”said Infineon CEO Dr Reinhard Ploss. “Infineon is successfully managing the cycle and occupying leading positions in several markets with long-term structural growth drivers. 2022 promises to be a strong year; we are continuing our journey of profitable growth and sustainable value creation. ”
Based on the preliminary figures, Infineon expects the results for its fiscal year 2021 (ending September 30, 2021) to arrive as previously announced, with a turnover level of around 11 billion euros, a segment profit margin above 18%, investments in real estate, plant and equipment, intangible assets and capitalized development costs amounting to approximately 1.6 billion euros and free cash flow of about 1.5 billion euros.
For fiscal 2022, Infineon expects a strong increase in revenues and a further increase in margin. Based on an exchange rate of $ 1.20 to one euro, revenue is expected to increase by a mid-teens percentage. At this level, the segment’s profit margin is expected to be around 20%. To benefit from growth opportunities, Infineon aims to significantly increase its investments during the financial year which has just started, to a level of approximately 2.4 billion euros. Free cash flow is estimated at around 1 billion euros.
IFX Day 2021 will be held on October 5, 2021, from 3:00 p.m. to 6:30 p.m. CEST, in a virtual format. The live video webcast will be available at www.infineon.com/investor (login required). Registration is possible at capitalmarketsday.infineon.com. A recording of the event and copies of the presentations will be available at www.infineon.com/investor.
Infineon Technologies AG is a global leader in semiconductor solutions that make life easier, safer and greener. Infineon’s microelectronics are the key to a better future. In fiscal 2020 (ending September 30), Infineon achieved sales of over € 8.6 billion with a workforce of around 46,700 people worldwide. Following the acquisition of the American company Cypress Semiconductor Corporation in April 2020, Infineon is now one of the world’s top 10 semiconductors.
Infineon is listed on the Frankfurt Stock Exchange (symbol: IFX) and in the United States on the over-the-counter market OTCQX International Premier (symbol: IFNNY).
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Infineon Management Board (fltr): Dr. Helmut Gassel (CMO), Dr. Sven Schneider (CFO), Dr. Reinhard Ploss (CEO), Constanze Hufenbecher (CDTO), Jochen Hanebeck (COO)
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Infineon Technologies AG published this content on 05 October 2021 and is solely responsible for the information it contains. Distributed by Public, unedited and unmodified, on 05 October 2021 06:03:53 AM UTC.