Infineon has a good Q1

For FY Q2 it expects revenue of around €3.6 billion expected with free cash flow of around €1.7 billion. CEO Jochen Hanebeck (pictured) reckons the year will see a demand-led market recovery.

2025 capex is set at approximately €2.5 billion.

“Infineon has held up well in a weak market environment, closing its first quarter slightly ahead of expectations,” says Hanebeck, “against a continued uncertain economic backdrop, our business trajectory in this fiscal year is following the pattern we expected: Following the expected inventory reduction, we continue to anticipate that the recovery in demand will be gradual for the current fiscal year. The positive stand-out is the move towards increased use of artificial intelligence, which is driving demand for our leading power supply solutions for AI data centers. This is a prime example of our long-term growth drivers, digitalization and decarbonization.

Infineon foresees stable or slightly increased automotive revenue in FY 2025. Additionally, the Power & Sensor segment is expected to grow, driven by demand for AI server products.

The CEO noted that after managing lower inventories, Infineon expects demand recovery to continue through the fiscal year ending in September. The company’s revenue outlook for the fiscal second quarter is set at 3.6 billion euros, surpassing analyst predictions of 3.42 billion euros.

Source

      Guidantech
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