Infineon's revenue and profit both increased in the fourth quarter of fiscal year 2024; market weakness in fiscal year 2025 lowered expectations

Infineon's revenue and profit both increased in the fourth quarter of fiscal year 2024; market weakness in fiscal year 2025 lowered expectations

• Fourth quarter of fiscal year 2024: revenue was 3.919 billion euros, profit reached 832 million euros, and profit margin was 21.2%.

• Fiscal year 2024: Revenue was 14.955 billion euros, down 8% year-on-year; profit was 3.105 billion euros; profit margin was 20.8%; adjusted earnings per share was 1.87 euros; free cash flow was 23 million euros, and adjusted free cash flow was 1.690 billion euros.

• Dividend proposal for fiscal year 2024: The dividend remains unchanged at EUR 0.35 per share.

• Outlook for the first quarter of fiscal year 2025: Assuming the EUR/USD exchange rate is 1:1.10, revenue is expected to be approximately 3.2 billion euros. On this basis, the profit margin is expected to be around 14% to 16%.

• Outlook for fiscal year 2025: Assuming an exchange rate of 1:1.10 euros to the US dollar, revenue is expected to be slightly lower than the previous fiscal year. Adjusted gross margin is expected to be around 40%, with a profit margin of 14% to 19%. Investment is expected to be around 2.5 billion euros. Taking into account the investment in the front-end plant, the adjusted free cash flow is about 1.7 billion euros and the reported free cash flow is about 900 million euros.

[Neubiberg, Germany, November 12, 2024] Infineon Technologies AG today announced its financial results for the fourth quarter and the full fiscal year 2024 (ending September 30, 2024) .

Jochen Hanebeck, CEO of Infineon Technologies

Jochen Hanebeck, CEO of Infineon Technologies, said: "In fiscal 2024, Infineon performed well and achieved results in line with expectations. At present, our end market growth is weak, except for the field of artificial intelligence, and the cyclical recovery has been delayed. Inventory adjustments are still continuing. Short-term ordering patterns and inventory digestion make the visibility of demand trends in the coming quarters unclear. Therefore, we are preparing for slower business growth in fiscal 2025. At the same time, we will enhance competitiveness by continuously implementing structural measures in the "Step Up" plan. Combined with Infineon's innovation capabilities, we are responding to the drivers of structural growth in preparation so that we are in the best position for future economic recovery trends."