DGAP-News: Infineon Technologies AG / Key word(s): Quarter
Results/Forecast
Infineon Technologies AG: STRONG GROWTH IN REVENUE AND EARNINGS
30.07.2015 / 07:30
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- Q3 FY 2015: REVENUE OF EUR 1,586 MILLION; SEGMENT RESULT EUR 245
MILLION; SEGMENT RESULT MARGIN 15.4 PERCENT
- OUTLOOK Q4 FY 2015: QUARTER-ON-QUARTER REVENUE GROWTH OF 1 PERCENT
(PLUS OR MINUS 2 PERCENTAGE POINTS) AND SEGMENT RESULT MARGIN OF 16
PERCENT AT MID-POINT OF GROWTH RANGE
- OUTLOOK FOR FY 2015: BASED ON AN ASSUMED EXCHANGE RATE OF US$ 1.10 TO
THE EURO, YEAR-ON-YEAR REVENUE GROWTH OF 34 PERCENT AND A SEGMENT
RESULT MARGIN OF 15 PERCENT EXPECTED
Neubiberg, Germany, July 30, 2015 - Infineon Technologies AG today reported
its results for the third quarter of the 2015 fiscal year, ended June 30,
2015.
<pre>
in Euro million Q3 FY15 Q2 GJ15 +/- in %
Revenue 1,586 1,483 7
Segment Result 245 198 24
Segment Result Margin [in %] 15.4 13.4
Income (loss) from continuing operations 105 65 62
Income (loss) from discontinued operations, 4 - ---
net of income taxes
Net income 109 65 68
in Euro
Basic earnings (loss) per share from 0.10 0.06 67
continuing operations1
Basic earnings (loss) per share from - - ---
discontinued operations1
Basic earnings per share1 0.10 0.06 67
Diluted earnings (loss) per share from 0.10 0.06 67
continuing operations1
Diluted earnings (loss) per share from - - ---
discontinued operations1
Diluted earnings per share1 0.10 0.06 67
Adjusted earnings per share diluted2 0.18 0.13 38
</pre>
The opening balance sheet values, and with them the comparative information
for the previous period have been adjusted as a result of the continuing
analysis and valuation of the assets and liabilities acquired as part of
the preliminary purchase price allocation for International Rectifier.
1 The calculation for earnings per share is based on unrounded figures.
2 The reconciliation of net income to adjusted net income and adjusted
earnings per share can be found in the quarterly information at
http://www.infineon.com.
"Revenue, earnings and margin rose significantly in the third quarter,
despite an increasingly difficult business environment. For the full fiscal
year, we therefore continue to forecast revenue and a Segment Result Margin
within the ranges previously predicted", stated Dr. Reinhard Ploss, CEO of
Infineon Technologies AG. "The integration of International Rectifier is
progressing according to plan. Leading technologies and an excellent system
understanding differentiate us from the competition, to the benefit of our
customers. Therefore we are ideally equipped to take on the challenges of
the future."
REVIEW OF GROUP FINANCIALS FOR THE THIRD QUARTER OF THE 2015 FISCAL YEAR
Third-quarter revenue for the Infineon Group grew by 7 percent to EUR 1,586
million, compared to the EUR 1,483 million reported in the second quarter,
corresponding to a rise of EUR 103 million.
A combination of higher revenue and positive cost effects drove the Segment
Result up by 24 percent from EUR 198 million in the second quarter to EUR
245 million in the third quarter of the current fiscal year. The Segment
Result Margin improved to 15.4 percent, compared with 13.4 percent in the
previous quarter.
The negative non-segment result decreased quarter-on-quarter from negative
EUR 119 million to negative EUR 126 million. In addition to the
acquisition-related depreciation and amortization charges and other
expenses already reported in the second quarter, expenses were also
recognized in the third quarter in connection with the closure of the
Singapore Techview manufacturing facility announced in May.
Operating income improved from EUR 79 million in the second quarter of the
2015 fiscal year to EUR 119 million in the third quarter. Income from
continuing operations rose from EUR 65 million to EUR 105 million
quarter-on-quarter. Income from discontinued operations amounted to EUR 4
million, compared with EUR 0 million (rounded) in the preceding quarter.
Net income for the third quarter came in at EUR 109 million, well ahead of
the previous quarter's EUR 65 million.
Earnings per share (basic and diluted) increased from EUR 0.06 in the
second quarter to EUR 0.10 in the third. Adjusted earnings per share
(diluted) improved to EUR 0.18, compared to EUR 0.13 in the second quarter.
For the purposes of calculating adjusted earnings per share (diluted), a
number of items were eliminated, most notably acquisition-related
depreciation and amortization and other expenses as well as expenses
related to the closing of Singapore Techview (net of tax).
Investments - which Infineon defines as the sum of purchases of property,
plant and equipment, purchases of intangible assets and capitalized
development assets - increased to EUR 215 million in the third quarter of
the current fiscal year, compared with EUR 150 million in the preceding
quarter. Depreciation and amortization edged up quarter-on-quarter from EUR
203 million to EUR 205 million.
Free Cash Flow from continuing operations in the third quarter totaled EUR
220 million. Payment of the purchase price for International Rectifier had
given rise to a negative Free Cash Flow of EUR 1,880 million in the second
quarter. Net cash provided by operating activities from continuing
operations rose from EUR 135 million to EUR 432 million.
The gross cash position went up from EUR 1,656 million on March 31, 2015 to
EUR 1,842 million at the end of the third quarter. The net cash position
improved over the same period from a negative amount of EUR 176 million to
stand at a positive amount of EUR 49 million at June 30, 2015. With these
figures, Infineon is now back within the target range for its three capital
management objectives , namely gross cash of between 30 and 40 percent of
revenue, a positive net cash position, and a moderate level of debt.
OUTLOOK FOR THE FOURTH QUARTER OF THE 2015 FISCAL YEAR
Based on an assumed exchange rate of US$ 1.10 to the euro, Infineon expects
quarter-on-quarter revenue growth of 1 percent (plus or minus 2 percentage
points) in the fourth quarter of the 2015 fiscal year. At the mid-point of
the growth range, the Segment Result Margin is expected to come in at about
16 percent.
OUTLOOK FOR THE 2015 FISCAL YEAR
For the 2015 fiscal year, based on an assumed exchange rate of US$ 1.10 to
the euro, Infineon forecasts a year-on-year rise in revenue of 34â¯percent
and the Segment Result Margin is expected to be about 15 percent. All four
operating segments will contribute to revenue growth. This forecast also
includes International Rectifier's expected contribution to revenue in the
period from January 13, 2015 to September 30, 2015.
Investments during the 2015 fiscal year are expected to be in the region of
EUR 800 million. This figure includes investments in plant and equipment at
existing factories and in intangible assets including capitalized
development costs. Specifically included in these investments are EUR 60 to
EUR 70 million for readying the second shell in Kulim, Malaysia, for volume
production and EUR 21 million for the purchase of Qimonda patents in
conjunction with the settlement reached with the insolvency administrator
of Qimonda AG. Depreciation and amortization will increase to around EUR
750 million, mostly as a result of acquisition-related charges.
Infineon segments' performance in the third quarter of the 2015 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 CONFERENCE
Infineon will host a telephone conference call for analysts and investors
(in English only) on July 30, 2015 at 9:30 am (CEST), 3:30 am (EST). During
the call, the Infineon Management Board will present the Company's results
for the third quarter of the 2015 fiscal year. In addition, the Management
Board will host a live telephone conference with the media at 11:00 am
(CEST), 5:00 am (EST). 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 Q3 Investor Presentation is available (in English only) at:
http://www.infineon.com/cms/en/corporate/investor/reporting/index.html
INFINEON FINANCIAL CALENDAR (*preliminary)
- Sep 3, 2015 Deutsche Bank European TMT Conference, London
- Sep 22 - 23, 2015 Baader Investment Conference, Munich
- Sep 23, 2015 Berenberg Bank and Goldman Sachs German Corporate
Conference, Munich
- Sep 28, 2015 Presentation by Jochen Hanebeck, Division President
Automotive, London
- Nov 11 - 13, 2015 Morgan Stanley TMT Conference, Barcelona
- Nov 26, 2015* Earnings Release for the Fourth Quarter and Full 2015
Fiscal Year
- Dec 1 - 2, 2015 Credit Suisse TMT Conference, Scottsdale/Arizona
- Feb 2, 2016 Earnings Release for the First Quarter of the 2016 Fiscal
Year
- Feb 18, 2016 Annual General Meeting 2016, Munich
ABOUT INFINEON
Infineon Technologies AG is a world leader in semiconductor solutions that
make life easier, safer and greener. Microelectronics from Infineon is the
key to a better future. In the 2014 fiscal year (ending September 30), the
company reported sales of Euro 4.3 billion with about 29,800 employees
worldwide. In January 2015, Infineon acquired US-based International
Rectifier Corporation with revenues of USD 1.1 billion (fiscal year 2014
ending June 29) and approximately 4,200 employees.
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).
Further information is available at www.infineon.com
This press release is available online at www.infineon.com/press
Follow us:
twitter.com/Infineon - facebook.com/Infineon - plus.google.com/+Infineon
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.
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service of EQS Group AG.
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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: Regulated Market in Frankfurt (Prime Standard); Regulated
Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover,
Munich, Stuttgart; Terminbörse EUREX
End of News DGAP News-Service
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382081 30.07.2015
DGAP-News: Infineon Technologies AG: STRONG GROWTH IN REVENUE AND EARNINGS
| Source: EQS Group AG