Infineon Technologies AG
Infineon Technologies AG: SOLID START INTO 2016 FISCAL YEAR
DGAP-News: Infineon Technologies AG / Key word(s): Quarter Results/Forecast
– Q1 FY 2016: REVENUE OF EUR1,556 MILLION; SEGMENT RESULT EUR220 MILLION; SEGMENT RESULT MARGIN 14.1 PERCENT – OUTLOOK FOR Q2 FY 2016: QUARTER-ON-QUARTER REVENUE INCREASE OF 3 PERCENT (PLUS OR MINUS 2 PERCENTAGE POINTS), WITH SEGMENT RESULT MARGIN OF 13 PERCENT AT MID-POINT OF REVENUE RANGE – OUTLOOK FOR FINANCIAL YEAR 2016 CONFIRMED Neubiberg, Germany, February 2, 2016 – Infineon Technologies AG today reported results for the first quarter of the 2016 fiscal year (period ended December 31, 2015).
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 www.infineon.com. “Our business performed better than expected in the past quarter. Infineon’s broad diversification in terms of customers, markets and regions is paying off,” stated Dr. Reinhard Ploss, CEO of Infineon Technologies AG. “We are doing particularly well in the automotive business, where Infineon’s leading expertise is prevailing. Our solutions for driver assistance systems continue to generate growth. Electromobility is gaining momentum as well.” REVIEW OF GROUP FINANCIALS FOR THE FIRST QUARTER OF THE 2016 FISCAL YEAR The revenue decrease caused the gross margin to decline from 39.0 percent to 35.9 percent quarter-on-quarter. Acquisition-related depreciation, amortization and other with the acquisition of International Rectifier related expenses totaling EUR27 million were recorded in the first quarter. The first-quarter Segment Result amounted to EUR220 million, 23 percent down on the EUR286 million reported for the preceding three-month period. The Segment Result Margin came in at 14.1 percent, in line with guidance, compared with the previous quarter’s 17.9 percent. The decreases in Segment Result and Segment Result Margin were primarily attributable to the seasonal drop in revenue, a less favorable product mix and currency effects on the cost side. The negative non-segment result continued to improve, from negative EUR83 million in the fourth quarter 2015 to negative EUR54 million in the first quarter of the current fiscal year. Of the first-quarter figure, EUR29 million related to cost of goods sold, EUR4 million to research and development expenses and EUR26 million to selling, general and administrative expenses. Other operating income respectively expenses net amounted to positive EUR5 million. The non-segment result includes a balanced amount of EUR45 million of depreciation and amortization arising in conjunction with the purchase price allocation and other expenses related to the acquisition of International Rectifier. Operating income decreased from EUR203 million in the fourth quarter to EUR166 million in the first quarter of the 2016 fiscal year. Income from continuing operations fell to EUR152 million, partly reflecting the fact that the fourth quarter figure of EUR322 million had included a net income tax benefit of EUR131 million. Income from discontinued operations amounted to EUR0 million, compared to EUR3 million in the preceding quarter. Net income was EUR152 million, compared with EUR325 million in the fourth quarter. Earnings per share (basic and diluted) fell from EUR0.29 to EUR0.14 quarter-on-quarter. (*Adjusted net income and adjusted earnings per share (diluted) should not be seen as a replacement or superior performance indicator, but rather as additional information to the net income and earnings per share (diluted) determined in accordance with IFRS.) Investments – which Infineon defines as the sum of purchases of property, plant and equipment, purchases of intangible assets and capitalized development costs – totaled EUR167 million, compared to EUR279 million in the fourth quarter of the previous fiscal year. At EUR211 million, depreciation and amortization remained unchanged compared to the fourth quarter. Free cash flow from continuing operations declined to break-even for the first quarter, in line with forecast. The equivalent figure for the previous three-month period was EUR177 million. Net cash provided by operating activities from continuing operations amounted to EUR175 million, compared to the previous quarter’s EUR429 million. The gross cash position stood at EUR1,994 million at December 31, 2015, slightly down on the EUR2,013 million reported at the end of the fourth quarter. Similarly, the net cash position was also lower, falling from EUR220 million at September 30, 2015 to EUR204 million at December 31, 2015. OUTLOOK FOR THE SECOND QUARTER OF THE 2016 FISCAL YEAR OUTLOOK FOR THE 2016 FISCAL YEAR Investments in property, plant and equipment, intangible assets and capitalized development costs in the region of EUR850 million are planned for the 2016 fiscal year. The ratio for investments as a percentage of revenue (at the mid-point of the forecast range) is forecast at 13 percent. Depreciation and amortization are also expected to be in the region of EUR850 million. Infineon segments’ performance in the first quarter and the 2016 fiscal year can be found in the quarterly information at www.infineon.com. All figures in this quarterly information are preliminary and unaudited. ANALYST AND PRESS TELEPHONE CONFERENCE The Q1 Investor Presentation is available (in English only) at: www.infineon.com/cms/en/about-infineon/investor/reporting/ INFINEON FINANCIAL CALENDAR (*preliminary) – Feb 18, 2016 Annual General Meeting 2016, Munich – Feb 23, 2016 Meetings at Mobile World Congress, Barcelona – Mar 1 – 2, 2016 Morgan Stanley TMT Conference, San Francisco – Mar 9, 2016 UBS European Technology Conference, London – May 3, 2016* Earnings Release for the Second Quarter of the 2016 Fiscal Year – May 30, 2016 Danske Bank German Corporate Day, Copenhagen – Jun 8 – 9, 2016 Deutsche Bank German, Suisse & Austrian Conference, Berlin – Jun 20, 2016 JPMorgan CEO Conference, London – Aug 2, 2016* Earnings Release for the Third Quarter of the 2016 Fiscal Year – Nov 30, 2016* Earnings Release for the Fourth Quarter and 2016 Fiscal Year ABOUT INFINEON Further information is available at www.infineon.com Follow us: 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.
2016-02-02 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG. |
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 |