Infineon plans to increase investments by 50% next year
The German chip manufacturer has provided its investors with an update on its strategy, business performance and long-term perspective as well as on the outlook for the fiscal year 2022.
Infineon announces that, based on preliminary figures, the company expects the results of its 2021 fiscal year (ending 30 September 2021) to come in at the previously announced level, which means revenue of about EUR 11 billion, a Segment Result Margin of above 18%. During 2021, the company has also made investments in property, plant and equipment, intangible assets and capitalised development for around EUR 1.6 billion. For the next fiscal year, Infineon says it expects strong revenue increase and a further margin uplift. Based on exchange rate of USD 1.20 to the euro, revenue is anticipated to grow by a mid-teens percentage. At this level, the Segment Result Margin is forecast to come in at around 20%. However, in order to benefit from growth opportunities, Infineon says that it aims to significantly increase its investments for the fiscal year 2022, to a level of around EUR 2.4 billion.