Infineon Technologies AG today reported results for the second quarter of the 2018 fiscal year (period ended 31 March 2018) including revenue of €1,836 million; Segment Result of €314 million; Segment Result Margin of 17.1 percent; earnings per share of €0.40 (basic and diluted); adjusted earnings per share of €0.26 (diluted); gross margin of 37.1 percent; and adjusted gross margin of 38.0 percent
Infineon also reported investments of about €1.2 billion in the current fiscal year due to accelerated capacity expansion.
"Infineon continues to grow profitably," stated Dr. Reinhard Ploss, CEO of Infineon. "Our growth is broadly based: Solutions for the entire range of drivetrain systems for all types of electric vehicles, including 48-volt systems, high-speed trains and renewable power generation.
"In addition, we are seeing growing demand for data center power supplies for artificial intelligence. Our order books are bulging. We therefore are very confident that we will achieve our revenue targets for the 2018 fiscal year.
Dr. Reinhard Ploss, CEO of Infineon
"Compared to the previous year's March quarter, the average US dollar exchange rate against the euro fell by around 16 percent in the three-month period to 31 March 2018.
"Despite headwinds from the US dollar and rising material prices, we expect to achieve our targeted Segment Result Margin of 17 percent again in the 2018 fiscal year. This demonstrates the robustness of our business model," continued Dr. Reinhard Ploss.
Looking forward, Infineon projects:
- Outlook for FY 2018: Based on an assumed exchange rate of US$1.25 to the euro, year-on-year revenue growth of about 4 to 7 percent and Segment Result Margin of 17 percent at mid-point of revenue guidance. Group net income likely exceeding €1 billion due to the sale of the RF power business.
- Outlook for Q3 FY 2018: Based on an assumed exchange rate of US$1.25 to the euro, quarter-on-quarter revenue growth of 3 percent (plus or minus 2 percentage points) and Segment Result Margin of 17 percent at mid-point of revenue guidance.
