Infineon Technologies Ag · XETR:IFX

Infineon Technologies — Q2 FY2021 Earnings Presentation

95 slides from Infineon Technologies's earnings presentation, May 12, 2021

Slide 1: Second Quarter FY 2021 Quarterly Update
Second Quarter FY 2021 Quarterly Update Infineon Technologies AG Investor Relations 1
Slide 2: Infineon at a glance
Infineon at a glance Addressing long-term high-growth trends Illustrative aggregated FY20 revenue by segment › IoT (edge comp., data center, 5G, sensing, connectivity) 14% Automotive (ATV) › electro-mobility Industrial Power Control (IPC) 43% › assisted driving, autonomous driving Power & Sensor Sys
Slide 3: Illustrative aggregated FY20 revenue by target application
Illustrative aggregated FY20 revenue including contribution from Cypress of ~€1,900m from 1 Oct 2019 through 30 Sep 2020 Illustrative aggregated FY20 revenue of ~€9,600m by target application industrial and consumer IoT; 10% powertrain ICE; 8% xEV (incl. MHEV); 5% payment, identification, ticketing;
Slide 4: Infineon is a global top-10 player, #1 in power semiconductors
Infineon is a global top-10 player, #1 in power semiconductors, and ranked #3 in the overall microcontroller market Semiconductor suppliers Power discretes and modules MCU suppliers 2020 total market: $473bn1) 2019 total market: $21.0bn2) 2020 total market: $17.3bn1) Intel 16.1% Infineon 19.0% Renes
Slide 5: Infineon offers a unique portfolio that links the real and the digital world
Infineon offers a unique portfolio that links the real and the digital world Coin cell-powered devices Battery-powered devices Power supplies Information and data about the real world Industrial IoT Connectivity Real-world Software Digital Drives applications Ecosystem world Smart Home Value additio
Slide 6: Outlook for Q3 FY21 and FY21
Outlook for Q3 FY21 and FY21 Outlook Q3 FY21* Outlook FY21* ~ €11.0bn +/- 3% Revenue €2.6bn – €2.9bn (prev.: ~ €10.8bn +/- 5%) At the mid-point of the revenue guidance: At the mid-point of the revenue guidance: Segment Result Margin ~ 18% ~ 18% (prev.: ~17.5%) Investments in FY21 ~ €1.6bn D&A in FY2
Slide 7: Reaping of synergies on track
Reaping of synergies on track Planned ramp-up of cost synergies Planned ramp-up of revenue synergies €180m €1.5bn P2S for G&A long-term revenue synergies €1bn S&M Near-term R&D revenue synergies: improved customer access, COGS cross-selling opportunities end FY20 mid FY21e mid FY22e mid FY23e* FY22e
Slide 8: Infineon's through-cycle target operating model
Infineon’s through-cycle target operating model Target Operating Model Infineon financial performance to approach targets as Cypress integration progresses Revenue growth 9%+ Segment Result Margin 19% Investment-to-sales 13% 2021-05-04 Copyright © Infineon Technologies AG 2021. All rights reserved.
Slide 9: Design-win at an Asian OEM in an upper mid-range EV platform
Design-win at an Asian OEM: Infineon semiconductors worth more than €500 in an upper mid-range EV platform with SAE L2 automation Category Major products Main applications (comprising 14x AURIX™ ) ADAS remote sensor mid-range parking front camera vehicle fusion radar system assistance integrated ful
Slide 10: Industry's first AEC-Q103-qualified XENSIV MEMS microphone for automotive
Infineon introduced industry’s first AEC-Q103-qualified high- performance XENSIV™ MEMS microphone for automotive applications Infineon expands the application range of its MEMS microphones into automotive › The newly launched IM67D130A MEMS XENSIV™ IM67D130A microphone enables the use of sound as a
Slide 11: Leading-edge DC-DC power conversion for high-performance acceleration boards
Infineon provides leading-edge DC-DC power conversion for high- performance acceleration boards Next-generation accelerator boards are driving the need for ultra-high density and robust power conversion solutions › Exponential increase in compute power driven by AI training and high-performance comp
Slide 12: Radar turn-key solution with XENSIV 60 GHz radar and PSoC 6 MCU
Infineon radar turn-key solution addresses IoT market via combining XENSIV™ 60 GHz radar and highly integrated PSoC™ 6 MCU Key facts Example application: presence detection 20 mm › Infineon offers complete turn-key solution comprising of sensor, MCU and software libraries (apps, SDKs) XENSIV™ 60 GHz
Slide 13: New AIROC Wi-Fi 6/6E and Bluetooth 5.2 solutions
Infineon’s new AIROC™ Wi-Fi 6/6E and Bluetooth® 5.2 solutions bring reliable, high-performance connectivity to smart homes Key facts › Infineon is expanding its AIROC™ wireless portfolio of high- performance, reliable and secured offerings with combined Wi-Fi 6/6E and Bluetooth® 5.2 combo capabiliti
Slide 15: Products and innovations key to dealing with climate change
Our products and innovations together with an efficient production are key elements to deal with climate change We contribute a CO2 reduction of more than 54 million tons * * The increase in the burden of CO2 equivalents can mainly be explained by including manufacturing service providers for the fi
Slide 16: Infineon will become carbon-neutral by 2030
Infineon will become carbon-neutral by 2030 70% CO2 emissions reduction target in 2025 (scope 1 and 2 emissions) 1. Avoiding direct emissions and further reducing energy consumption 2. Purchasing green electricity with guarantees of origin for unavoidable emissions 3. Compensate the smallest part by
Slide 17: External recognitions of sustainability engagement
External recognitions confirm our engagement in contributing to a sustainable society Rating/Score Scale Date CCC to MSCI ESG AA 02/2021 AAA B climate scoring CDP F to A 12/2020 B water scoring Ecovadis 98th percentile “Gold” award 0 to 100 11/2020 81 Dow Jones Sustain- Dow Jones Sustainability Inde
Slide 19: ATV at a glance
ATV at a glance ATV revenue and Segment Result Margin FY20 revenue split by product group [EUR m] memories CAGR(FY16-FY20): 7.5% MCUs 4.000 3.284 3.503 3.542 25% 3.500 2.989 2.369 3.000 2.656 2.500 15% 2.000 16% 14% 14% 16% 1.500 12% 5% 1.000 500 4% sensors 0 -5% FY16 FY17 FY18 FY19 FY20 H1 FY21 pow
Slide 20: Market outlook for ATV division's target applications
Market outlook for ATV division’s target applications Applications Market Outlook for CY21 › Y-Y recovery with unit growth at mid-teens % › Unit growth momentum in CY21 hindered by semiconductor shortages; the shortage is expected to last a few more months › Continued uncertainties related to market
Slide 21: Top market position built on system competence
Infineon’s top market position is built on system competence based on an industry-leading product portfolio Automotive semiconductors (2020 total market: $35.0bn) › Strengthened #1 position; increasing distance to #2 Infineon 13.2% › #1 in power semiconductors NXP 10.9% › Undisputed #1 in automotive
Slide 23: Power module technology in top-selling Chinese NEV models
Infineon provides leading-edge power module technology to top-selling Chinese NEV models NIO: EC6 Scalable Infineon HybridPACK™ Drive portfolio XPeng: P5 › > 20 BEV platforms in production with Infineon GAC Trumpchi: Aion S EV SAIC: MG EZS EV HybridPACK™ Drive › > 1m pieces shipped with an unparalle
Slide 24: Incremental power semiconductor content in xEV
The incremental content of power semiconductors in xEV is a significant opportunity for Infineon 2020 average xEV semiconductor content by degree of electrification 48 V / Mild Hybrids Full & Plug-in Hybrids and Battery Electric Vehicles $32 $834 $330 $90 $0 $572 $61 $7 $17 $14 $23 $396 $396 $38 Non
Slide 26: Radar/Lidar modules and sensor fusion in ADAS/AD semiconductor BoM
Radar/Lidar modules and sensor fusion will grab the lion’s share of semiconductor BoM in ADAS/AD-equipped cars Incremental average semiconductor content per car by level of automation at the given years Level 2 Level 2+ Level 4/L5 L2 vehicles in 2020: ~5m L2+ in 2025: ~2.5m L4/L5 vehicles in 2030: ~
Slide 27: AURIX µC family first-choice automotive architecture
The Infineon AURIX™ µC family has become the first-choice auto- motive architecture for high-growth and safety-critical applications Infineon AURIX™ revenue development over time FY10 FY20e FY25e CAGR(FY10-FY25)= 5.7% CAGR(FY20-FY25)= 34% [indexed: FY10 = 100] TAM: TAM: €1.6bn €4.8bn CAGR(FY20-FY25)
Slide 28: Strong microcontroller footprint in next-generation platforms
Strong microcontroller footprint in next-generation high-volume platforms OEM platform #1: › 14 MCUs (+ NOR Flash + Wi-Fi) OEM platform #2: › 20 MCUs › start of production: end of CY20 › start of production: CY22 Engine control Braking AD fusion Instrument Engine Braking AD fusion Cluster TFT module
Slide 30: Portfolio covers the entire range of power and frequency
Infineon's portfolio covers the entire range of power and frequency What is a power switch? How are power switches categorized? 10 MW When turned on power → current flows = 1 MW When turned off IGBT → current is blocked SiC Module Module 100 kW What counts? › Losses in on-state (R(DS)on) 10 kW › Hea
Slide 31: Discrete power portfolio separated by voltage classes
Infineon's discrete power portfolio* is basically separated by voltage classes Silicon-based power switches Compound semiconductors 6,500 V IPC territory 4,500 V CoolSiC™ MOSFET IGBT 3,300 V roadmap modules 1,700 V discrete IGBTs 1,200 V SiC MOSFET today IGBTs (discretes, modules) (CoolSiC™) high-vo
Slide 32: Raised forecast: doubling SiC revenue in FY21
Raised forecast: dubling the revenue in FY21 – more than half of the incremental growth contributed by automotive Industrial and automotive applications driving the growth [EUR m] CAGR(FY17-FY21e): ~55% 200 ~100% 150 100 ~200 different CoolSiC™ products 50 ~3,000 total active customers including dis
Slide 33: CoolSiC portfolio expansion by packages and voltages
Strong CoolSiC™ portfolio expansion: by packages and by voltages Broadest and best-in-class SiC portfolio Industrial Automotive grade CoolSiC™ CoolSiC™ CoolSiC™ CoolSiC™ CoolSiC™ CoolSiC™ Hybrid Diode MOSFET Diode Hybrid MOSFET Discrete Discrete Module Discrete IPM Module Discrete Discrete Discrete
Slide 34: Traditional wire sawing wastes ~3/4 of the raw material
Traditional wire sawing wastes ~3/4 of the raw material Current status of SiC device manufacturing Phase 1: boule splitting in volume prod. starting FY22 The supplier cuts the boule into 350 µm thick wafers thereby losing almost half of We source boules and use our splitting technology to cut it int
Slide 35: Boule splitting plus wafer twinning quadruples output
Boule splitting plus wafer twinning or advanced boule splitting quadruples output out of a given boule Phase 2: wafer twinning Phase 3: advanced boule splitting The starting material are either wafer from the phase 1 boule splitting The advanced boule splitting results in thin wafers that can be pro
Slide 36: Second generation CoolSiC Trench MOSFET
Second generation (2nd Gen.) CoolSiC™ Trench MOSFET will increase the addressable market 1st Gen. with lowest losses is the leading technology today 2nd Gen. will expand the lead 9 B Gen 2 Planar C Gen 1 Planar › 2nd Gen. CoolSiC™ Trench FoM = RDS(on)*Qg [Ω*nC] 8 MOSFET is in advanced D Gen 1 Planar
Slide 38: IPC at a glance
IPC at a glance IPC revenue and Segment Result Margin FY20 revenue split by product group [EUR m] CAGR(FY16-FY20): 7.0% SiC discrete IGBTs 1.600 1.323 1.418 1.406 25% 1.400 1.206 723 1.200 1.072 19% 15% driver ICs 1.000 18% 18% 17% IGBT modules 800 15% 600 12% 5% 400 IPMs 200 0 -5% FY16 FY17 FY18 FY
Slide 39: Market outlook for IPC division's target applications
Market outlook for IPC division’s target applications Applications Market Outlook for CY21 (% of FY20 segment revenue) Automation and Drives ~30% › Industrial Drives recovering in high single digits with demand growing mainly in GC region Renewables › Wind: installations forecasted to increase to al
Slide 40: Clear leader in discrete IGBTs and IGBT modules
Clear leader in discrete IGBTs and IGBT modules; fostering position in IPMs Discrete IGBTs IPMs IGBT modules1) 2019 total market: $1.44bn 2019 total market: $1.59bn 2019 total market: $3.31bn Infineon 32.5% Mitsubishi 32.7% Infineon 35.6% Fuji Electric 11.7% ON Semi 17.9% Mitsubishi 11.9% ON Semi 7.
Slide 41: Infineon serves all renewable energy applications
Infineon serves all applications in the field of renewable energy Onshore Offshore HVDC** › Application: Full Converter & Partial/DFIG* › Application: Full Converter based wind turbine › Application: HVDC - VSC converter based wind turbine › Output: 3 MW – 14 MW › Output: 100 MW – 4 GW › Output: 1 M
Slide 42: #1 semiconductor enabler of renewable energies
We are the #1 semiconductor enabler of renewable energies Average annual solar PV and wind capacity additions* All leading renewable energy players are our customers* Solar PV Wind PV inverter Wind 300 1 | Huawei ✓ 1 | Siemens/Gamesa ✓ 250 2 | Sungrow ✓ 2 | Vestas ✓ 3 | SMA ✓ 3 | Goldwind ✓ GW 200 1
Slide 43: Energy storage essential to deploy renewable energy generation
Energy storage is essential to further deploy decentral and renewable energy generation Battery storage capacity and share of variable renewables1) Key drivers 40 › Decentralization of power 2030 generation Battery storage capacity (GW) European Union 2025 30 India › Peak shaving of energy China 202
Slide 44: What comes next? Structural growth opportunities
What comes next? Mid- to long-term structural growth opportunities Core Adjacent New area Courtesy: Courtesy: Alstom Shakti pumps new material solar pumps fuel cell Courtesy: Siemens AG Courtesy: McKinsey EV charging energy storage eMarine Courtesy: Lilium GmbH collaborative robots eDelivery vehicle
Slide 46: PSS at a glance
PSS at a glance PSS revenue and Segment Result Margin FY20 revenue split by product group [EUR m] other (incl. HiRel) CAGR(FY16-FY20): 6.7% 2.800 2.650 40% 2.318 2.445 MOSFETs 2.300 2.041 2.148 (incl. SiC, GaN) 30% 1.800 23% 24% 24% 1.566 17% 20% 1.300 24% 20% RF & sensors 800 10% 300 -200 0% FY16 F
Slide 47: Market outlook for PSS division's target applications
Market outlook for PSS division’s target applications Applications Market Outlook for CY21 (% of FY20 segment revenue) Computing › Acceleration towards cloud computing to continue ~20% › Pandemic-driven stay-at-home and WFH effects continue to favor notebook sales Communication › In general, long-te
Slide 48: PSS growth built on many applications
PSS's growth is built on many applications from different sectors in power and non-power Computing Communications Smartphones Consumer Industrial › data center › base stations › smartphones › eBikes, eScooter › power supplies › enterprise server › backhaul cellular › mobile devices › multicopter › E
Slide 50: Clear leader in MOSFETs; growth potential in power ICs
Infineon is the clear leader in MOSFETs; growth potential in power ICs Discrete Power MOSFETs Power ICs 2019 total market: $8.10bn 2019 total market: $24.4bn Infineon 24.6% Texas Instruments 16.0% ON Semi 12.8% Infineon 7.7% STMicro 9.5% Analog Devices 7.2% Toshiba 7.3% Qualcomm 6.3% Renesas* 5.6% S
Slide 51: 5G drives demand in power semis
Transition from 3G/4G to 5G drives demand in power semis for antennas and power supplies 5G base station › driver #1: massive growth of data and computing power Massive MIMO DC-DC (MOSFET, ICs) › driver #2: higher number of base stations due to dense network › driver #3: ~4x higher power semi Base s
Slide 52: Conversion to USB Type-C
Infineon is well positioned to benefit from the conversion to the de-facto standard USB Type-C USB Type-C becomes de-facto interface form factor Infineon USB business split by appl. [FY20] Smartphone & Others tablet Automotive Network & PC, storage monitor, Near-term revenue printer Cables & dongles
Slide 53: What comes next? Structural growth opportunities
What comes next? Mid- to long-term structural growth opportunities Core Adjacent New area 5G infrastructure smart building smart speaker hyperscale AI data center wireless charging health & lifestyle new material on-board charger environmental sensor solutions 2021-05-04 Copyright © Infineon Technol
Slide 55: Main applications addressed by PSS sensors portfolio
Main applications addressed by PSS sensors portfolio MEMS microphone 3D radar (24/60 GHz) 3D ToF image sensor Environmental High Ultra-low Best audio Best price / precision and power performance performance Small form consumption 14.0 x 13.6 x 7.5 mm³ factor Presence Face ID Low power detection/ (bi
Slide 56: Sensor markets targeted by PSS
Sensor markets targeted by PSS MEMS microphone market Radar IC market (24 GHz and 60 GHz only) [EUR m] [EUR m] 1.841 1.920 601 1.494 1.641 1.251 467 347 219 154 FY 2021 2022 2023 2024 2025 FY 2021 2022 2023 2024 2025 Source: Infineon estimates Source: Infineon estimates 3D ToF image sensor market En
Slide 57: Different market dynamics of selected PSS sensors
Different market dynamics of selected PSS sensors MEMS microphone Radar ICs (24 GHz and 60 GHz only) › Strong first quarter and bounce back of the smartphone › Home appliance will drive 60 GHz radar growth in the market in CY 2021 contribute to good MEMS microphone consumer market (smart lamp, speak
Slide 58: XENSIV MEMS microphones new #1
Sweeping success of our XENSIV™ MEMS microphones driven by unparalleled audio characteristics catapulted Infineon to new #1 Infineon’s market share development in MEMS microphones (by units) 43.5% 2019 MEMS die market share 34.7% 36.5% total market: 5.4bn units 26.5% Infineon 43.5% Knowles 39.8% 8.8
Slide 59: New 3D ToF image sensor launching in Q3 FY21
New 3D ToF image sensor with improved long range to be launched in Q3 FY21 › Enables functionalities like real-time augmented reality, long range Characteristics: scanning, small object reconstruction, fast low-power autofocus and › Long range up to 10 meters picture segmentation. › High resolution
Slide 60: XENSIV PAS CO2 sensor
Infineon XENSIV™ PAS CO2 sensor enables highly-precise CO2 measuring and will ramp-up for mass market in mid 2021 Photoacoustic spectroscopy (PAS) technology based on Infineon‘s high-sensitivity MEMS microphone › Infineon XENSIV™ PAS CO2 sensor enables highly-precise, cost-effective and space saving
Slide 62: CSS at a glance
CSS at a glance CSS revenue and Segment Result Margin FY20 revenue split by product group [EUR m] CAGR(FY16-FY20): 7.9% MCUs 1.000 953 25% 703 708 800 664 664 642 15% 600 19% 18% security ICs 16% 400 12% 13% 11% 5% 200 0 -5% FY16 FY17 FY18 FY19 FY20 H1 FY21 connectivity CSS revenue CSS Segment Resul
Slide 63: Market outlook for CSS division's target applications
Market outlook for CSS division’s target applications – brightening but foundry supply constraints limit upside potential in the near-term Applications Market Outlook for CY21 (not considering supply constraints) (% of FY20 segment revenue) Industrial IoT › Growth driven by general market recovery i
Slide 64: Top player in security ICs and Wi-Fi standalone ICs
Infineon remains top player in its target markets: security ICs, Wi-Fi standalone ICs Security ICs (excl. NFC controller; excl. NFC eSE) Wi-Fi standalone ICs 2019 total market: $2.8bn 2019 total market: 978m units Infineon is focusing on wearables and IoT but not addressing routers, PCs, notebooks,
Slide 65: CSS empowers the world to connect through smart and trusted solutions
CSS empowers the world to easily connect through smart and trusted solutions Industrial and Consumer IoT Payment, ID, Ticketing Industrial Automotive Smart Home Gaming Wearables Payment Identification Applications Compute Wireless Connectivity CSS capabilities Security Software 2021-05-04 Copyright
Slide 66: Capabilities enable Infineon to address growing IoT market
Compute, connectivity, security and software ecosystem capabilities enable Infineon to address a growing market driven by the IoT Infineon offers the entire system for IoT CSS market* [EUR bn] MCUs Connectivity Security CSS offering Cloud CAGR +10% ATV, IPC, PSS offering 14.9 sensors software and ec
Slide 67: MCUs – Dynamic market environment
MCUs – Dynamic market environment; CSS is well set to tackle trends in IoT & Consumer as well as Industrial markets MCU market* Trends in MCU markets Segments and focus topics [EUR bn] Others Continued growth of CAGR Consumer MCUs in smart home, IoT & Consumer Industrial driven by home auto- mation
Slide 68: Wi-Fi – Market driven by dynamic specifications
Wi-Fi – Market driven by a dynamic environment of specifications; CSS is addressing main growth trends Wi-Fi market* Trends in Wi-Fi markets Segments and focus topics [EUR bn] IoT & Consumer CAGR Specially suited for IoT +13% devices with basic › Broad portfolio with Wi-Fi 4 / 5 / 6 standalone 4 con
Slide 69: Bluetooth – Market driven by further penetration
Bluetooth – Market driven by further penetration of Bluetooth use cases across devices; CSS focus topics enable this development Bluetooth (BT) market* Trends in Bluetooth markets Segments and focus topics [EUR bn] Continued growth in Smart Home › Focus on Mesh 1.1 and Mesh 2.0 (upcoming) CAGR smart
Slide 70: Security – Several long-term key trends
Security – Several long-term key trends driving value, generating emerging opportunities, shaping CSS’ focus in the security field Security ICs market* Trends in security ICs market CSS focus Segments [EUR bn] Emerging Proliferation of Innovation leadership Payment Maturing Contactless, smart wearab
Slide 71: Significant synergy potential of combined product portfolio
Significant synergy potential of a combined company product portfolio CSS offering Other Infineon Divisions offering Synergies application examples Smart speaker Smart lighting Service robots Connectivity Connectivity Connectivity Wi-Fi / Bluetooth Combo Wi-Fi / Bluetooth Combo Wi-Fi / Bluetooth Com
Slide 73: Strong presence in all regions; balanced customer portfolio
Strong presence in all regions; well-balanced customer portfolio; no customer represents more than 10% of total sales FY20 revenue by region Revenue by sales channel* Distribution and EMS partners Top-10 direct customers Americas EMEA (excl. Germany) 12% 15% Japan 9% Germany 12% Top-10 direct Distri
Slide 74: Group financial performance
Group financial performance Revenue* and gross margin development [EUR m] › Cyclical dynamics coinciding with a structural upturn 2,700 › Demand is outstripping supply in almost all 2,631 semiconductor areas 2,490 2,174 › Many products are on allocation and inventories are lean 1,986 › Accelerating
Slide 75: Automotive (ATV)
Automotive (ATV) Revenues* Segment Result* Margin Book-to-bill [EUR m] [EUR m] 197 185 1,150 1,219 1,045 2.3 842 810 1.5 49 59 16.2% 1.3 16.1% 0.8 5.8% -26 5.6% 0.2 -3.2% Q2 Q3 Q4 Q1 Q2 FY20 FY20 FY20 FY21 FY21 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 FY20 FY20 FY20 FY21 FY21 FY20 FY20 FY20 FY21 FY21 › Positiv
Slide 76: Industrial Power Control (IPC)
Industrial Power Control (IPC) Revenues Segment Result Margin Book-to-bill [EUR m] [EUR m] 358 366 349 362 361 69 62 63 61 59 1.6 1.4 19.8% 1.1 17.3% 17.2% 16.9% 1.0 16.3% 0.7 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 FY20 FY20 FY20 FY21 FY21 FY20 FY20 FY20 FY21 FY21 FY20 FY20 FY20 FY21 FY21 › Se
Slide 77: Power & Sensor Systems (PSS)
Power & Sensor Systems (PSS) Revenues Segment Result Margin Book-to-bill [EUR m] [EUR m] 759 779 787 209 681 197 617 184 143 1.9 138 27.5% 1.6 25.3% 22.4% 23.4% 1.2 1.2 0.9 21.0% Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 FY20 FY20 FY20 FY21 FY21 FY20 FY20 FY20 FY21 FY21 FY20 FY20 FY20 FY21 FY21 ›
Slide 78: Connected Secure Systems (CSS)
Connected Secure Systems (CSS) Revenues* Segment Result* Margin Book-to-bill [EUR m] [EUR m] 333 335 329 312 2.6 2.6 42 45 166 39 1.1 1.1 30 25 0.8 15.1% 12.5% 12.6% 13.4% 9.1% Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 FY20 FY20 FY20 FY21 FY21 FY20 FY20 FY20 FY21 FY21 FY20 FY20 FY20 FY21 FY21 › C
Slide 79: RoCE and adjusted RoCE
RoCE and adjusted RoCE 25% 15% 5% -5% FY17 FY18 FY19 FY20 Q2 FY20 Q3 Q4 Q1 FY21 Q2 Adjusted RoCE (excl. effects from International Rectifier and Cypress acquisition, Deferred Tax Effects, RF Power sale) RoCE 2021-05-04 Copyright © Infineon Technologies AG 2021. All rights reserved. 79
Slide 80: Earnings-per-share and total cash return
Earnings-per-share and total cash return Development of earnings-per-share (EPS) from continuing operations [EUR cent] 28 24 20 19 15 13 13 13 8 EPS basic Q2 Q3 Q4 Q1 FY21 Q2 EPS adjusted -11 Total cash return to shareholders [EUR m] 305 336 › Dividend for FY20: €0.22 per share 283 286 225 248 › Div
Slide 81: Gross margin and Opex
Gross margin and Opex Gross profit R&D SG&A [EUR m] Gross profit as reported [EUR m] R&D expenses [EUR m] SG&A expenses Gross margin as reported R&D expenses as % of revenue SG&A expenses as % of revenue 972 333 341 328 985 321 308 316 308 311 793 686 241 214 587 34.5% 37.4% 36.0% 31.8% 14.8% 14.5%
Slide 82: Working Capital, in particular trade working capital components
Working Capital, in particular trade working capital components Working capital* Inventories [EUR m] [EUR m] [days] 2,215 2,052 1,762 1,955 1,937 1,505 1,736 1,007 993 945 120 126 109 107 101 Q2 FY20 Q3 Q4 Q1 FY21 Q2 Q2 FY20 Q3 Q4 Q1 FY21 Q2 Inventories DIO* Trade receivables Trade payables [EUR m]
Slide 83: D&A impacted by Cypress consolidation and PPA
D&A impacted by Cypress consolidation and PPA Investments* Depreciation & Amortization [EUR m] [EUR m] ~1.6bn ~1.6bn 1,451 1,254 1,260 ~500 1,099 315 1,022 945 826 861 833 812 87 140 103 129 16.5% 18.1% ~14.8% 12.8% 14.5% 12.9% 14.0% ~14.8% 12.8% 11.5% 11.3% 11.8% 693 683 758 858 945 FY16 FY17 FY18
Slide 84: Liquidity development
Liquidity development [EUR m] Gross Cash Gross Debt Net Cash/Debt 4,588 3,450 3,444 3,334 3,227 3,051 3051 Q2 Q3 Q4 Q1 Q2 -6,703 -3,369 -6,859 -3,415 -7,033 -3,806 FY20 FY21 -7,746 -4,296 › Q4 FY20: early repayment (USD 555m) of bank debt incurred for the Cypress acquisition. › Q1 FY21: Gross debt –
Slide 85: Maturity profile
Maturity profile [EUR m; US$ m; nominal values] Eurobond (Mar 2022) Term loans (Sep 2022, Sep 2023, Jun 2024) Corporate bonds under the EMTN program (Jun 2023, Jun 2026, Jun 2029, Jun 2032) US PP Notes (Apr 2024, Apr 2026, Apr 2028) €750 Hybrid bonds* (Jan 2025, Jan 2028) $555 $1,110 $1,110 €750 €60
Slide 87: Glossary (1 of 2)
Glossary (1 of 2) ABB accelerated book building ECC error correction code ABS anti-blocking system ECU electronic control unit AC alternating current EPS electric power steering AC-DC alternating current - direct current eSIM embedded subscriber identity module AD automated driving ESS energy storag
Slide 88: Glossary (2 of 2)
Glossary (2 of 2) IVN in-vehicle networking PTC positive temperature coefficient LCD liquid crystal display PV photovoltaic LDO low dropout voltage regulator RF radio frequency LED light-emitting diode rhs right-hand scale LSEV low-speed electric vehicle Si silicon LSPS LS Power Semitech Co. Ltd. Si
Slide 89: Disclaimer
Disclaimer Disclaimer This presentation 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 s
Slide 90: Financial calendar
Financial calendar Date Location Event 6 May 2021 Nuremberg → virtual IPC Business Update Call along with virtual PCIM trade show 19 May 2021 Tarrytown → virtual Berenberg US Conference 25 May 2021 New York → virtual 3rd Annual Mizuho Auto Technology Seminar 26 May 2021 Milan → virtual Equita 16th E
Slide 91: ESG footnotes
ESG footnotes 1) This figure considers manufacturing, transportation, function cars, flights, materials, chemicals, water/waste water, direct emissions, energy consumption, waste, etc. and is based on internally collected data and externally available conversion factors. All data relate to the 2020
Slide 92: Notes
Notes Investments = 'Purchase of property, plant and equipment' + 'Purchase of intangible assets and other assets' incl. capitalization of R&D expenses Capital Employed = 'Total assets' – 'Cash and cash equivalents' – 'Financial investments' – 'Assets classified as held for sale – ('Total Current li
Slide 93: Notes
Notes Book-to-bill ratio - Definition Book-to-bill = Orders received / Revenue in Euro per quarter › Orders received contains order backlog and external customer forecast External customer forecast includes consignment stock forecast by customers Not included are internal consignment replenishment o
Slide 94: For further reading
For further reading IPC Business Update Call ATV Business Update Call Dr. Peter Wawer Peter Schiefer 6 May 2021 5 October 2020 https://www.infineon.com/2021ipccall https://www.infineon.com/2020atvcall Sustainability Report 2020 CSS Business Update Call 23 November 2020 Thomas Rosteck 3 March 2021 ht
Slide 95: Institutional Investor Relations contacts
Institutional Investor Relations contacts Alexander Foltin Executive Vice President Finance, Treasury & Investor Relations +49 89 234-23766 alexander.foltin@infineon.com Joachim Binder Isabell Diel Distinguished Engineer Investor Relations Manager Investor Relations +49 89 234-25649 +49 89 234-38297

Infineon Technologies — Q2 FY2021 Earnings Presentation on 6ix

Infineon Technologies — Q2 FY2021 Earnings Presentation

Slide 1: Second Quarter FY 2021 Quarterly Update

Slide 2: Infineon at a glance

Slide 3: Illustrative aggregated FY20 revenue by target application

Slide 4: Infineon is a global top-10 player, #1 in power semiconductors

Slide 5: Infineon offers a unique portfolio that links the real and the digital world

Slide 6: Outlook for Q3 FY21 and FY21

Slide 7: Reaping of synergies on track

Slide 8: Infineon's through-cycle target operating model

Slide 9: Design-win at an Asian OEM in an upper mid-range EV platform

Slide 10: Industry's first AEC-Q103-qualified XENSIV MEMS microphone for automotive

Slide 11: Leading-edge DC-DC power conversion for high-performance acceleration boards

Slide 12: Radar turn-key solution with XENSIV 60 GHz radar and PSoC 6 MCU

Slide 13: New AIROC Wi-Fi 6/6E and Bluetooth 5.2 solutions

Slide 14: ESG: targets and achievements

Slide 15: Products and innovations key to dealing with climate change

Slide 16: Infineon will become carbon-neutral by 2030

Slide 17: External recognitions of sustainability engagement

Slide 18: Automotive

Slide 19: ATV at a glance

Slide 20: Market outlook for ATV division's target applications

Slide 21: Top market position built on system competence

Slide 22: Electro-mobility

Slide 23: Power module technology in top-selling Chinese NEV models

Slide 24: Incremental power semiconductor content in xEV

Slide 25: Automated Driving

Slide 26: Radar/Lidar modules and sensor fusion in ADAS/AD semiconductor BoM

Slide 27: AURIX µC family first-choice automotive architecture

Slide 28: Strong microcontroller footprint in next-generation platforms

Slide 29: Infineon's Power Strategy

Slide 30: Portfolio covers the entire range of power and frequency

Slide 31: Discrete power portfolio separated by voltage classes

Slide 32: Raised forecast: doubling SiC revenue in FY21

Slide 33: CoolSiC portfolio expansion by packages and voltages

Slide 34: Traditional wire sawing wastes ~3/4 of the raw material

Slide 35: Boule splitting plus wafer twinning quadruples output

Slide 36: Second generation CoolSiC Trench MOSFET

Slide 37: Industrial Power Control

Slide 38: IPC at a glance

Slide 39: Market outlook for IPC division's target applications

Slide 40: Clear leader in discrete IGBTs and IGBT modules

Slide 41: Infineon serves all renewable energy applications

Slide 42: #1 semiconductor enabler of renewable energies

Slide 43: Energy storage essential to deploy renewable energy generation

Slide 44: What comes next? Structural growth opportunities

Slide 45: Power & Sensor Systems

Slide 46: PSS at a glance

Slide 47: Market outlook for PSS division's target applications

Slide 48: PSS growth built on many applications

Slide 49: PSS – Power

Slide 50: Clear leader in MOSFETs; growth potential in power ICs

Slide 51: 5G drives demand in power semis

Slide 52: Conversion to USB Type-C

Slide 53: What comes next? Structural growth opportunities

Slide 54: PSS – RF and Sensing

Slide 55: Main applications addressed by PSS sensors portfolio

Slide 56: Sensor markets targeted by PSS

Slide 57: Different market dynamics of selected PSS sensors

Slide 58: XENSIV MEMS microphones new #1

Slide 59: New 3D ToF image sensor launching in Q3 FY21

Slide 60: XENSIV PAS CO2 sensor

Slide 61: Connected Secure Systems

Slide 62: CSS at a glance

Slide 63: Market outlook for CSS division's target applications

Slide 64: Top player in security ICs and Wi-Fi standalone ICs

Slide 65: CSS empowers the world to connect through smart and trusted solutions

Slide 66: Capabilities enable Infineon to address growing IoT market

Slide 67: MCUs – Dynamic market environment

Slide 68: Wi-Fi – Market driven by dynamic specifications

Slide 69: Bluetooth – Market driven by further penetration

Slide 70: Security – Several long-term key trends

Slide 71: Significant synergy potential of combined product portfolio

Slide 72: Selected financial figures

Slide 73: Strong presence in all regions; balanced customer portfolio

Slide 74: Group financial performance

Slide 75: Automotive (ATV)

Slide 76: Industrial Power Control (IPC)

Slide 77: Power & Sensor Systems (PSS)

Slide 78: Connected Secure Systems (CSS)

Slide 79: RoCE and adjusted RoCE