Infineon Technologies AG Announces Preliminary and Unaudited Consolidated Earnings Results for the First Quarter Ended December 31, 2014; Provides Earnings Guidance for the Second Quarter and Full Year of 2015
January 29, 2015 at 05:55 pm IST
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Infineon Technologies AG announced preliminary and unaudited consolidated earnings results for the first quarter ended December 31, 2014. For the quarter, the company reported revenue of EUR 1,128 million against EUR 984 million a year ago. Operating income was EUR 153 million against EUR 108 million a year ago. Income from continuing operations before income taxes was EUR 154 million against EUR 102 million a year ago. Income from continuing operations was EUR 130 million against EUR 85 million a year ago. Net income was EUR 136 million against EUR 87 million a year ago. Diluted earnings per share from continuing operations were EUR 0.12 against EUR 0.08 a year ago. Diluted earnings per share were EUR 0.12 against EUR 0.08 a year ago. Free cash outflow from continuing operations was EUR 171 million against free cash inflow from continuing operations of EUR 30 million a year ago. Net cash used in operating activities was EUR 179 million against cash provided by operating activities of EUR 160 million a year ago. Purchases of intangible assets and other assets were EUR 60 million against EUR 19 million a year ago. Purchases of property, plant and equipment were EUR 81 million against EUR 110 million a year ago. Purchases of financial investments were EUR 135 million against EUR 273 million a year ago. Revenue of the group decreased by 4% quarter-on-quarter in the first quarter of the 2015 fiscal year to due to seasonality, compared with 1,175 million in the fourth quarter of the previous fiscal year.
For the second quarter of 2015, the company expects to increase its revenue compared with the previous quarter of between 5% and 9% and segment result margin of between 12% and 13%.
For the 2015, the company expects, based on an assumed exchange rate of USD 1.20 to the EUR, revenue growth compared with the previous year of 12%, plus or minus 2 percentage points, and at the mid-point of that range segment result margin of between 14% and 15%. The company continues to expect depreciation and amortization for the 2015 fiscal year to come in at approximately EUR 600 million.
Infineon Technologies AG is one of the world's leading manufacturers of semiconductors. The group's products include power semiconductors, sensors, microcontrollers, digital, mixed-signal and analog ICs, discrete semiconductor modules, switches, interface ICs, motor-controlling ICs, RF power transistors, voltage regulators, and electronic safety components. Net sales break down by area of activity as follows:
- automotive (50.5%): semiconductor products used in the automotive industry, and memory products for specific applications for automotive, industrial, information technologies, telecommunications and consumer electronics.
- power & sensor systems (23.3%): semiconductors for energy-efficient power supplies, mobile devices, mobile phone network infrastructures, human-machine interaction as well as applications with special demands on their robustness and reliability.
- industrial power control (13.5%): semiconductor products for the conversion of electrical energy for small, medium and high-power applications, used in the manufacturing, the low-loss transmission, the storage and the efficient use of electrical energy;
- connected secure systems (12.6%): semiconductors for networked devices, card-based applications, and government documents; microcontrollers for industrial, entertainment, and household applications, components for connectivity systems, various customer support systems;
- other (0.1%).
Net sales are distributed geographically as follows: Germany (12.4%), Europe/Middle East/Africa (14.4%), China/Hong Kong/Taiwan (32.3%), Japan (10.5%), Asia/Pacific (15.9%), the United States (12.1%) and Americas (2.4%).
Infineon Technologies AG Announces Preliminary and Unaudited Consolidated Earnings Results for the First Quarter Ended December 31, 2014; Provides Earnings Guidance for the Second Quarter and Full Year of 2015