Infineon Technologies Ag · XETR:IFX

Infineon Technologies — Q2 FY2011 Earnings Presentation

28 slides from Infineon Technologies's earnings presentation, May 3, 2011

Slide 1: Second Quarter FY 2011 Quarterly Update
Second Quarter FY 2011 Quarterly Update Infineon Technologies AG Investor Relations
Slide 3: Executing on Continued Improvements in Financial Performance
Executing on Continued Improvements in Financial Performance [EUR m] FY 2010 Q1 FY11 Q2 FY11 Revenue 3,295 922 994 Segment Result 475 177 202 SR Margin 14% 19% 20% 994 922 Net Income 660 232 572 Investments 325 131 164 FCF from cont‘d. 573 4 13 operations 177 202 Gross Cash 1,727 1,669 2,691 Q1 FY11
Slide 4: New All-Time-High in Segment Result Margin With 20%
New All-Time-High in Segment Result Margin With 20% Revenue and Segment Result [EUR m] +27% 994 942 922 885 781 18% 19% 20% 16% 12% 170 177 202 96 138 Q2 FY10 Q3 Q4 Q1 FY11 Q2 Revenue Segment Result Segment Result margin 03 May 2011 2011 All rights reserved. Copyright © Infineon Technologies 2010. P
Slide 5: All-time-high for ATV in Revenue and SR Margin; CCS Strong in Seasonally Weak Q
All-time-high for ATV in Revenue and SR Margin; CCS Strong in Seasonally Weak Q ATV IMM CCS [EUR m] +24% +34% 436 423 433 392 389 340 354 316 333 324 +8% 18% 22% 24% 25% 25% 99 110 115 98 107 16% 16% 17% 17% 19% 3% 5% 10% 10% 13% 74 85 106 107 108 51 52 58 59 59 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q
Slide 6: OpEx Continues to be Within Target Corridor
OpEx Continues to be Within Target Corridor Selling and G&A R&D [EUR m] 120 113 113 112 14% 108 100 103 103 101 100 95 89 96 88 13% 80 60 12% 40 11% 20 0 10% Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q4 Q1 Q2 FY10 FY11 FY10 FY11 Selling General & Administration R&D % of sales 03 May 2011 2011 All rights reserved.
Slide 7: Considering Raising Investment Budget to Exploit Growth Potential
Considering Raising Investment Budget to Exploit Growth Potential Investments1) D&A [EUR m] ~ 7002) 453 ~ 3753) 325 336 85 163 Q4 164 80 115 Q3 80 81 89 Q2 47 131 Q1 90 83 35 FY 2009 FY 2010 Guidance FY 2009 FY 2010 Guidance FY 2011 FY 2011 1) For definition please see slide 22 in appendix. 2) IFX i
Slide 8: Cash Inflow from Closing of WLS Divest Drives Strong Increase in Net Cash
Cash Inflow from Closing of WLS Divest Drives Strong Increase in Net Cash Liquidity Development [EUR m] Gross Cash Debt Equity-linked Net Cash 129 * 227 153 133 2691 402 151 243 243 2335 2335 255 270 1727 1669 1667 1514 1331 1331 1293 1293 1108 1108 995 995 Q2 FY10 Q3 Q4 Q1 FY11 Q2 * Consists of Con
Slide 9: Guidance for FY 2011 Increased Again
Guidance for FY 2011 Increased Again Outlook Q3 FY11 Outlook FY 2011 (compared to Q2 FY11) (compared to FY 2010) Revenue to Revenue to grow by 20%. Revenue stay about flat quarter-on-quarter. previously: Revenue to grow by mid-teens percentage. Total Segment Result Margin Segment Result Margin to be
Slide 10: Table of Contents: Business Highlights
Table of Contents Infineon Results and Outlook Business Highlights 03 May 2011 2011 All rights reserved. Copyright © Infineon Technologies 2010. Page 10
Slide 11: Revenue Split by Division
Revenue Split by Division 6-months FY11 revenue split ATV € 746m IMM € 856m CCS € 205m 03 May 2011 2011 All rights reserved. Copyright © Infineon Technologies 2010. Page 11
Slide 12: Tight Customer Relationships are Based on System Knowhow and App Understanding
Tight Customer Relationships are Based on System Knowhow and App Understanding ATV IMM CCS Distributors 03 May 2011 2011 All rights reserved. Copyright © Infineon Technologies 2010. Page 12
Slide 13: Infineon Holds Top Positions in All Target Markets
Infineon Holds Top Positions in All Target Markets Automotive Power Chip Card #2 #1 #1 Renesas 14% Infineon 11% Infineon 27% Infineon 9% Toshiba 7% Samsung 22% Freescale 8% Fairchild 7% NXP 14% STM 8% Mitsubishi 6% Renesas 13% NXP 7% STM 6% STM 10% Calendar Year 2010. Calendar Year 2009. Calendar Ye
Slide 14: Automotive Segment (ATV)
Automotive Segment (ATV) Revenue and Segment Result [EUR m] 500 Revenue Segment Result SR margin 20% 400 392 15% 354 300 316 333 340 279 10% 200 74 5% 100 51 52 58 59 37 0 0% Q1 FY10 Q2 Q3 Q4 Q1 FY11 Q2 Revenue increased 11% quarter-on-quarter to an all-time-high; segment result margin up again to 1
Slide 15: Design-wins Secure Leadership in Electronic Transmission Control ASICs
Design-wins Secure Leadership in Electronic Transmission Control ASICs TLE8245X / TLE8246X Key features Supports 4, 6, 8+ speed automatic transmission architectures. 3rd generation; best-in-class current accuracy over temperature. Integration of power devices and shunts for lower system costs. Impro
Slide 16: Industrial & Multimarket Segment (IMM)
Industrial & Multimarket Segment (IMM) Revenue and Segment Result [EUR m] 500 Revenue Segment Result SR margin 30% 436 423 433 389 25% 400 324 280 20% 300 15% 200 107 108 10% 106 100 85 44 59 5% 0 0% Q1 FY10 Q2 Q3 Q4 Q1 FY11 Q2 Growth in RF and renewable energy businesses partly offset by normal neg
Slide 17: Energy Efficiency is of Utmost Importance for Today's Data Centers
Energy Efficiency is of Utmost Importance for Today‘s Data Centers of ~50MW-Class Open Compute Project: Facebook’s first company- (http://opencompute.org) owned data center in Prineville, Oregon. Facebook’s data center is one of the most efficient ones in the world and will boost energy efficiency b
Slide 18: Chip Card & Security Segment (CCS)
Chip Card & Security Segment (CCS) Revenue and Segment Result [EUR m] 150 Revenue Segment Result SR margin 14% 115 12% 110 107 99 98 10% 100 83 8% 6% 50 4% 12 10 14 2% 1 3 6 0 0% Q1 FY10 Q2 Q3 Q4 Q1 FY11 Q2 Revenue driven by payment products, growing shipments for the German identity card as well as
Slide 19: Innovation Award of German Industry for Integrity Guard Security Technology
Innovation Award of German Industry for Integrity Guard™ Security Technology Award-winning Integrity Guard™ security technology On 19 February 2011, the prestigious Innovation Award of German Industry for the best technological innovation went to Infineon’s “Integrity Guard” security technology. Thi
Slide 20: Solid Flash Replaces ROM-based Memory Solutions
Solid Flash™ Replaces ROM-based Memory Solutions Customers’ benefit with Solid Flash™ Fast and easy prototyping. Sampling and code change through the immediate availability of hardware samples. Lead times for chip production based on forecast are reduced by more than 50% compared to mask ROM. Produc
Slide 21: Dow Jones Sustainability Indexes
Dow Jones ipa Sustainability Indexes Cinfineon Member 2010/11 Innovative semiconductor solutions for energy efficiency, mobility and security.
Slide 22: Notes
Notes Investments = ‘Purchase of property, plant and equipment‘ + ‘Purchase of intangible assets, and other assets‘ incl. capitalization of R&D expenses Working Capital = (‘Total current assets’ – ‘Cash and cash equivalents’ – ‘Available-for-sale financial assets’ – ‘Assets classified as held for di
Slide 23: Consolidated Statements of Operations (IFRS)
Infineon Consolidated Statements of Operations (IFRS) (unaudited) 3 mo nt hs end ed 6 mo nt hs end ed in Euro million; except f or the per share dat a M ar 3 1, 11 D ec 3 1, 10 M ar 3 1, 10 M ar 3 1, 11 M ar 3 1, 10 Revenue 994 922 781 1,916 1,468 Co st o f go o ds so ld (573) (538) (496) (1,111) (9
Slide 24: Consolidated Statements of Financial Position (IFRS)
Infineon Consolidated Statements of Financial Position (IFRS) (unaudited) in Euro million M a r 3 1, 11 D e c 3 1, 10 S e p 3 0 , 10 A ssets: Current assets: Cash and cash equivalents 1,162 1,610 1,667 Financial investments 1,529 59 60 Trade and o ther receivables 829 685 687 therin: Trade acco unts
Slide 25: Consolidated Statements of Cash Flows (IFRS)
Infineon Consolidated Statements of Cash Flows (IFRS) (unaudited) 3 mo nt hs end ed in Euro million M ar 3 1, 11 D ec 3 1, 10 M ar 3 1, 10 Net incom e 572 232 79 Less: net income from discontinued operations, net of income taxes Adjustments to reconcile net income to net cash provided by operating a
Slide 26: Financial Calendar
Financial Calendar 11 May 2011, London Credit Suisse European Technology Conference * preliminary date 17-18 May 2011, Boston JPMorgan TMT Conference 07 Jun 2011*, Campeon, Neubiberg IFX Day 28 Jul 2011* Q3 FY11 Results 08 Sep 2011, London Deutsche Bank European TMT Conference 13-15 Sep 2011, Las Ve
Slide 27: Investor Relations Contacts
Investor Relations Contacts Ulrich Pelzer Corporate Vice President, Corporate Development & Investor Relations +49 89 234-26153 ulrich.pelzer@infineon.com Joachim Binder Senior Director, Investor Relations +49 89 234-25649 joachim.binder@infineon.com Aleksandar Josic Manager, Investor Relations +49
Slide 28: Disclaimer
Disclaimer This presentation was prepared as of 03 May 2011 and is current only as of that date. This presentation includes forward-looking statements and assumptions about the future of Infineon’s business and the industry in which we operate. These include statements and assumptions relating to ge

Infineon Technologies — Q2 FY2011 Earnings Presentation on 6ix

Infineon Technologies — Q2 FY2011 Earnings Presentation

Slide 1: Second Quarter FY 2011 Quarterly Update

Slide 2: Infineon Results and Outlook

Slide 3: Executing on Continued Improvements in Financial Performance

Slide 4: New All-Time-High in Segment Result Margin With 20%

Slide 5: All-time-high for ATV in Revenue and SR Margin; CCS Strong in Seasonally Weak Q

Slide 6: OpEx Continues to be Within Target Corridor

Slide 7: Considering Raising Investment Budget to Exploit Growth Potential

Slide 8: Cash Inflow from Closing of WLS Divest Drives Strong Increase in Net Cash

Slide 9: Guidance for FY 2011 Increased Again

Slide 10: Table of Contents: Business Highlights

Slide 11: Revenue Split by Division

Slide 12: Tight Customer Relationships are Based on System Knowhow and App Understanding

Slide 13: Infineon Holds Top Positions in All Target Markets

Slide 14: Automotive Segment (ATV)

Slide 15: Design-wins Secure Leadership in Electronic Transmission Control ASICs

Slide 16: Industrial & Multimarket Segment (IMM)

Slide 17: Energy Efficiency is of Utmost Importance for Today's Data Centers

Slide 18: Chip Card & Security Segment (CCS)

Slide 19: Innovation Award of German Industry for Integrity Guard Security Technology

Slide 20: Solid Flash Replaces ROM-based Memory Solutions

Slide 21: Dow Jones Sustainability Indexes

Slide 22: Notes

Slide 23: Consolidated Statements of Operations (IFRS)

Slide 24: Consolidated Statements of Financial Position (IFRS)

Slide 25: Consolidated Statements of Cash Flows (IFRS)

Slide 26: Financial Calendar

Slide 27: Investor Relations Contacts

Slide 28: Disclaimer