DGAP-News: Infineon Technologies AG / Key word(s): Quarter Results/Half Year Results Infineon Technologies AG: Second-quarter revenue and Segment Result significantly above previous quarter 02.05.2013 / 07:30 --------------------------------------------------------------------- - Q2 FY 2013: Revenue EUR918 million; Segment Result EUR68 million - Outlook for Q3 FY 2013: Revenue of about EUR1 billion and Segment Result Margin of approximately 10 percent - Outlook FY 2013: Revenues and Segment Result Margin expected at the upper end of the previously guided range Neubiberg, Germany - May 2, 2013. Infineon Technologies AG today reported results for the second quarter of the 2013 fiscal year, ended March 31, 2013. <pre> in Euro million Q2 FY13 Q1 FY13 +/- in % Revenue 918 851 8 Segment Result 68 44 55 Segment Result Margin [in %] 7.4% 5.2% Income (loss) from continuing operations 36 26 38 Income (loss) from discontinued operations, (3) (7) 57 net of income taxes Net income 33 19 74 in Euro Basic earnings (loss) per share from 0.03 0.02 50 continuing operations1 Basic earnings (loss) per share from --- --- --- discontinued operations1 Basic earnings per share1 0.03 0.02 50 Diluted earnings (loss) per share from 0.03 0.02 50 continuing operations1 Diluted earnings (loss) per share from --- --- --- discontinued operations1 Diluted earnings per share1 0.03 0.02 50 </pre> 1 The calculation for earnings per share is based on unrounded figures. 'Revenues and margin have recovered nicely over the past quarter. The trough is behind us. Our order books are filling up, albeit still with a relatively high proportion of short term business. We therefore expect a further rise in revenue and margin in the current quarter', stated Dr. Reinhard Ploss, CEO of Infineon Technologies AG. 'As forecast last November, our markets are growing significantly in the second half of the fiscal year. Based on the outlook for the third quarter and on first-half results, we expect to reach the upper end of our guided range for the full year.' REVIEW OF GROUP FINANCIALS FOR THE SECOND QUARTER OF THE 2013 FISCAL YEAR The Infineon Group reported revenue of EUR918 million for the second quarter of the 2013 fiscal year, 8 percent up on the EUR851 million recorded in the previous quarter. The increase was partly the consequence of a return to more normalized revenue levels in the Automotive segment (ATV). Second-quarter revenues of the Industrial Power Control (IPC) and Power Management & Multimarket (PMM) were also slightly higher than in the previous quarter. Revenue reported by the Chip Card & Security segment (CCS) was flat quarter-on-quarter. Segment Result improved by EUR24 million from EUR44 million in the first quarter of the 2013 fiscal year to EUR68 million in the quarter under report. The Segment Result Margin rose from 5.2 percent to 7.4 percent. The improvement in Segment Result primarily reflects higher revenue and continued cost control. The margin expansion was dampened by price reductions in volume purchase agreements that came into effect as usual at the beginning of the calendar year. Income from continuing operations in the second quarter of the 2013 fiscal year amounted to EUR36 million, compared with EUR26 million recorded in the previous quarter. The second-quarter loss from discontinued operations was EUR3 million, following a EUR7 million loss reported in the first quarter. Net income improved quarter-on-quarter from EUR19 million to EUR33 million. Earnings per share increased to EUR0.03 as compared to EUR0.02 one quarter earlier (basic and diluted). Investments - which the Company defines as the sum of purchases of property, plant and equipment, purchases of intangible assets and capitalized research and development assets - went down from EUR88 million in the first quarter to EUR65 million in the second. Depreciation and amortization was unchanged at EUR116 million. Free cash flow from continuing operations increased from negative EUR128 million in the first quarter of the 2013 fiscal year to positive EUR73 million in the second, an improvement of EUR201 million, with most of the improvement attributable to the sharp increase in the cash inflow from operating activities (up by EUR178 million) and lower investments (down by EUR23 million). Shareholders approved the dividend proposed by management to the Annual General Meeting held on February 28, 2013. Accordingly, a dividend of EUR0.12 per share, unchanged from the previous year, was paid on March 1, 2013. The total amount of the distribution was EUR129 million. The positive free cash flow on the one hand and the payment of the dividend on the other resulted in an overall slight decrease in cash and cash equivalents. The gross cash position at March 31, 2013 amounted to EUR2.016 billion compared to EUR2.081 billion at December 31, 2012. The net cash position at the end of the quarter was EUR1.705 billion compared to EUR1.768 billion three months earlier. During the period from October 2010 to March 2013, Infineon had a total of EUR687 million cash out for dividends, share and convertible bond repurchases. Overall, dividends paid for the fiscal years 2010 to 2012 totaled EUR368 million. Over the course of the capital return program which expired on March 31, 2013, Infineon repurchased EUR128 million worth of convertible bonds due May 2014 with a nominal amount of EUR47 million and 13 million own shares for EUR84 million. Prior to the capital return program, during the period from October 2010 to March 2011, Infineon also had repurchased convertible bonds with a nominal amount of EUR36 million for EUR107 million. Overall, the diluted number of shares was reduced by 49 million or 4.5 percent as a result of repurchases of convertible bonds and shares since October 2010. OUTLOOK FOR THE THIRD QUARTER OF THE 2013 FISCAL YEAR Based on an assumed exchange rate of 1.30 US dollars to the euro (unchanged from the previous quarter), Infineon forecasts third-quarter revenue of about EUR1 billion, with all segments expected to contribute to revenue growth. The Group's Segment Result Margin for the third quarter is forecast at approximately 10 percent of revenues. OUTLOOK FOR 2013 FISCAL YEAR: REVENUE AND SEGMENT RESULT MARGIN EXPECTED AT THE UPPER END OF OUR PREVIOUSLY GUIDED RANGE Based on first-half results and the outlook for the third quarter, the Management Board expects the fiscal year's revenue decline compared to the previous year at the upper end of the mid-to-high single digit percentage range previously announced. Thus the Segment Result Margin for the 2013 fiscal year is expected to be at the upper end of the mid-to-high single digit percentage range guided thus far. In terms of revenue growth compared to the previous fiscal year, the ATV, PMM and CCS segments are expected to fare better than the Group average in the fiscal year 2013, whereas IPC is expected to suffer from a revenue decline significantly higher than the Group average. Revenue of the OOS segment will again fall sharply, as goods and services sold relating to the previously sold Wireline Communications and Wireless mobile phone businesses continue to decrease as planned. This forecast is based on an assumed exchange rate of 1.30 US dollars to the euro. Investments in the 2013 fiscal year will be in the region of EUR400 million and compare with a depreciation and amortization expense of approximately EUR470 million. Infineon segments' performance in the second quarter of the 2013 fiscal year can be found in the quarterly information at http://www.infineon.com All figures in this quarterly information are preliminary and unaudited. ANALYST AND PRESS TELEPHONE CONFERENCES Infineon will host a telephone conference call for analysts and investors (in English only) on May 2, 2013 at 10:00 am (CEST), 4:00 am (EDT). During the call, the Infineon Management Board will present the Company's results from the second quarter of the 2013 fiscal year. In addition, the Management Board will host a telephone conference with the media at 11:30 am (CEST), 5:30 am (EDT). It can be followed over the Internet in both English and German. Both conferences will also be available live and for download on Infineon's website at www.infineon.com/investor . The Q2 Investor Presentation is available (in English) at: http://www.infineon.com/cms/en/corporate/investor/reporting/index.html INFINEON FINANCIAL CALENDAR (*preliminary) - Jun 3-4, 2013 Bank of America Merrill Lynch Global Tech Conference, San Franciso - Jun 11, 2013 Conference Call by Stefan Hofschen, Division President, Chip Card & Security - Jun 18, 2013 JPMorgan CEO Conference, London - Jul 30, 2013* Earnings Release for the Third Quarter of the 2013 Fiscal Year - Aug 28, 2013 Commerzbank Sector Conference Week, Frankfurt - Sep 3, 2013 Deutsche Bank European TMT Conference, London - Sep 18, 2013 Conference Call by Jochen Hanebeck, Division President, Automotive - Sep 24, 2013 Berenberg Bank and Goldman Sachs German Corporate Conference, Munich - Sep 25, 2013 Baader Investment Conference, Munich - Nov 12, 2013* Earnings Release for the Fourth Quarter and Full 2013 Fiscal Year - Nov 18-19, 2013 Company roadshow - including presentation by Andreas Urschitz, Division President, Power Management & Multimarket (PMM), London - Nov 20-22, 2013 Morgan Stanley TMT Conference, Barcelona ABOUT INFINEON Infineon Technologies AG, Neubiberg, Germany, offers semiconductor and system solutions addressing three central challenges to modern society: energy efficiency, mobility, and security. In the 2012 fiscal year (ending September 30), the Company reported sales of EUR3.9 billion with close to 26,700 employees worldwide. Infineon is listed on the Frankfurt Stock Exchange (ticker symbol: IFX) and in the USA on the over-the-counter market OTCQX International Premier (ticker symbol: IFNNY). D I S C L A I M E R This press release contains forward-looking statements about the business, financial condition and earnings performance of the Infineon Group. These statements are based on assumptions and projections resting upon currently available information and present estimates. They are subject to a multitude of uncertainties and risks. Actual business development may therefore differ materially from what has been expected. Beyond disclosure requirements stipulated by law, Infineon does not undertake any obligation to update forward-looking statements. Due to rounding, numbers presented throughout this press release and other reports may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures. End of Corporate News --------------------------------------------------------------------- 02.05.2013 Dissemination of a Corporate News, transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------- Language: English Company: Infineon Technologies AG Am Campeon 1-12 85579 Neubiberg Germany Phone: +49 (0)89 234-26655 Fax: +49 (0)89 234-955 2987 E-mail: investor.relations@infineon.com Internet: www.infineon.com ISIN: DE0006231004 WKN: 623100 Indices: DAX Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover, München, Stuttgart; Terminbörse EUREX End of News DGAP News-Service --------------------------------------------------------------------- 209209 02.05.2013
DGAP-News: Infineon Technologies AG: Second-quarter revenue and Segment Result significantly above previous quarter
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