Infineon Technologies reported a record fourth quarter on Tuesday, with revenue of 4.706 billion euros, up 13 percent from the third quarter and 19 percent from a year earlier, and a segment result of 1.119 billion euros for a segment result margin of 23.8 percent. Profit for the period was 532 million euros, and adjusted earnings per share were 0.60 euros. Revenue rose significantly in the automotive, green industrial power and power and sensor systems businesses, while connected secure systems declined.
For the full fiscal year ended September 30, revenue was 16.353 billion euros, up 12 percent year on year, with a segment result of 3.223 billion euros and a segment result margin of 19.7 percent. Adjusted earnings per share were 1.73 euros. Free cash flow was 993 million euros, or 1.925 billion euros on an adjusted basis. The board intends to propose a dividend of 0.38 euros per share, up 0.03 euros, at the February 2027 annual general meeting.
The outlook is the story. At an assumed exchange rate of 1.15 dollars per euro, Infineon expects fiscal 2027 revenue of approximately 20 billion euros, growth of more than 20 percent, with revenue from power supplies for data centers reaching close to 4 billion euros. The adjusted gross margin should be in the mid-to-high forties percent range and the segment result margin in the mid twenties. First quarter revenue is expected at about 4.6 billion euros with a segment result margin near 23 percent, which the company called significantly better than usual seasonality.
Planned investment of 3.0 billion to 3.5 billion euros is aimed at the same demand: equipment for the fourth manufacturing building in Dresden, silicon carbide capacity in Kulim, Malaysia, and the start of gallium nitride manufacturing on 300 millimetre wafers at Villach in Austria, the expansion covered on this site on November 1. Chief executive Jochen Hanebeck said semiconductor solutions for data center power supplies, energy infrastructure, electromobility and software-defined vehicles will be the key contributors. Shares rose about 6 percent in German trading after the release, according to dpa-AFX.