Infineon closes FY 2026 with record quarter; expects revenue growth of more than 20 percent and a 5-percentage-point increase in profitability for FY 2027

Infineon closes FY 2026 with record quarter; expects revenue growth of more than 20 percent and a 5-percentage-point increase in profitability for FY 2027, driven by data centers, power infrastructure, and software-defined vehicles

– Q4 FY 2026: Revenue of €4.706 billion, Segment Result of €1.119 billion, Segment Result Margin of 23.8 percent

– FY 2026: Revenue of €16.353 billion, up 12 percent year on year; Segment Result of €3.223 billion, Segment Result Margin of 19.7 percent, adjusted earnings per share of €1.73, Free Cash Flow of €993 million, and Adjusted Free Cash Flow of €1.925 billion

– Outlook for Q1 FY 2027: At an assumed EUR/USD exchange rate of 1.15, revenue of approximately €4.6 billion is expected. The Segment Result Margin is expected to be approximately 23 percent

– Outlook for FY 2027: At an assumed EUR/USD exchange rate of 1.15, revenue of approximately €20 billion is forecast. Revenue from power supplies for data centers is projected to reach close to €4 billion. The adjusted gross margin should be in the mid-to-high fourties percentage range, and the Segment Result Margin in the mid twenties percentage range. Investments of €3.0 billion to €3.5 billion are planned. Adjusted Free Cash Flow should be approximately €2.2 billion, while Free Cash Flow should reach approximately €1.8 billion

– The Management Board intends to propose an increase in the dividend of €0.03 to €0.38 per share at the Annual General Meeting in February 2027

Neubiberg, 10 November 2026 – Infineon Technologies AG today announced its results for the fourth quarter and fiscal year 2026, both of which ended on 30 September 2026.

“Infineon closed the fiscal year 2026 with another record quarter and enters the new fiscal year with continued strong momentum,” said Jochen Hanebeck, CEO of Infineon. “Supported by an ongoing cyclical recovery and strong demand in our structural growth areas, we expect a significant increase in revenue and profitability in fiscal year 2027. Our semiconductor solutions for data center power supplies, the expansion and modernization of energy infrastructure, electromobility, and software-defined vehicles will be key contributors. With our product portfolio, innovative strength, and manufacturing capacity, we are well positioned to capitalize on profitable growth opportunities over the long term in these areas and in emerging applications such as robotics and edge AI.”

¹ The reconciliation of net income to adjusted net income and adjusted earnings per share as well as of cost of goods sold to adjusted cost of goods sold and adjusted gross margin can be found in the quarterly information at https://www.infineon.com/about/investor/reports-presentations/financial-results.

² The calculation for earnings per share and for adjusted earnings per share is based on unrounded figures.

Group performance in the fourth quarter of fiscal year 2026

In the fourth quarter of fiscal year 2026, Group revenue rose by 13 percent to €4,706 million, compared with €4,172 million in the previous quarter. Revenue increased significantly in Automotive (ATV), Green Industrial Power (GIP), and Power & Sensor Systems (PSS). Revenue in Connected Secure Systems (CSS), however, declined.

The gross margin rose to 41.8 percent in the fourth quarter, compared with 40.8 percent in the previous quarter. The adjusted gross margin improved to 45.1 percent, compared with 42.8 percent in the third quarter of fiscal year 2026.

Segment Result increased to €1,119 million in the fourth quarter, compared with €797 million in the previous quarter. Segment Result Margin rose to 23.8 percent, compared with 19.1 percent in the previous quarter.

Non-Segment Result came in at minus €344 million in the fourth quarter, compared with minus €203 million in the previous quarter. Of this total, €155 million was attributable to cost of goods sold, €47 million to research and development expenses, and €92 million to selling, general, and administrative expenses. In addition, net other operating expenses amounted to €50 million.

Operating profit improved to €775 million in the fourth quarter, compared with €594 million in the previous quarter.

Financial result amounted to minus €88 million in the fourth quarter, compared with minus €63 million in the third quarter.

Income taxes amounted to €163 million in the fourth quarter, compared with €112 million in the previous quarter.

Profit from continuing operations amounted to €531 million in the fourth quarter, compared with €423 million in the third quarter. Profit from discontinued operations stood at €1 million, compared with €0 million in the previous quarter. Profit for the period reached €532 million in the fourth quarter, compared with €423 million in the third quarter.

Basic earnings per share from continuing operations increased to €0.41 in the fourth quarter of fiscal year 2026. Diluted earnings per share from continuing operations rose to €0.40. Both figures stood at €0.32 in the previous quarter. Adjusted earnings per share (diluted)³ improved to €0.60 in the fourth quarter, compared with €0.44 in the third quarter.

Investments – which Infineon defines as the sum of investments in property, plant and equipment, investments in other intangible assets and capitalized development costs – rose as planned to €931 million in the fourth quarter, compared with €514 million in the previous quarter. Depreciation and amortization amounted to €499 million, compared with €466 million in the previous quarter.

Free Cash Flow improved further to €656 million in the fourth quarter, compared with €599 million in the previous quarter. Cash flow from operating activities from continuing operations rose to €2,171 million, compared with €1,114 million in the third quarter. This was partly offset by the €564 million purchase price payment for the sensor portfolio of ams OSRAM.

Gross cash increased to €2,137 million at the end of the fourth quarter, compared with €1,656 million at the end of the previous quarter. Financial debt stood at €6,850 million at the end of September, compared with €6,841 million on 30 June 2026. Net cash stood at minus €4,713 million, compared with minus €5,185 million at the end of the previous quarter.

Dividend proposal for fiscal year 2026: €0.38 per share

Infineon’s dividend policy aims to let shareholders appropriately participate in the Company’s economic performance and to maintain the dividend at least at a constant level even if earnings stagnate or decline. For fiscal year 2026, Infineon intends to propose an increase in the dividend of €0.03 to €0.38 per share to the Annual General Meeting in February 2027. The proposal reflects the improvement in operating and financial performance compared with the previous year and, at the same time, keeps our financial flexibility for further profitable growth in the years ahead. The number of issued shares remained unchanged at 1,305,921,137 as of 30 September 2026. This included 5,265,744 treasury shares that are not entitled to a dividend. The expected total dividend payment would therefore be approximately €494 million, subject to approval by the Annual General Meeting.

Change in segment structure: adjusted historical figures

On 1 July 2026, Infineon changed its organizational structure and is operating since then in the Automotive (ATV), Edge Systems (ES), and Power Systems (PS) segments. The table in the appendix on page 10 shows adjusted historical financial data for the three segments. These data provide, among other things, a basis for comparison for the statements on segment performance in the outlook for the first quarter and fiscal year 2027.

Outlook for the first quarter of fiscal year 2027

For the first quarter of fiscal year 2027, Infineon expects revenue of approximately €4.6 billion at an assumed EUR/USD exchange rate of 1.15. The forecast of nearly stable revenue compared with the previous quarter represents a significantly better-than-usual seasonality. Revenue is expected to remain stable in the ATV and PS segments, while revenue in ES is expected to decline moderately. Segment Result Margin is expected to be approximately 23 percent.

Outlook for fiscal year 2027

At an assumed EUR/USD exchange rate of 1.15, Infineon expects revenue to grow by more than 20 percent to approximately €20 billion in fiscal year 2027. Revenue in the PS segment is expected to grow significantly faster than Group revenue. Revenue from data center power supplies is expected to reach close to €4 billion in the current fiscal year. Revenue is expected to increase by a mid-teens percentage in ATV and a low-teens percentage in ES. The adjusted gross margin should be in the mid-to-high fourties percentage range, and Segment Result Margin in the mid twenties percentage range.

Investments – which Infineon defines as the sum of investments in property, plant and equipment, investments in other intangible assets and capitalized development costs – of €3.0 billion to €3.5 billion are planned for fiscal year 2027, depending on expected customer demand. The main areas of investment are equipment for the ramp-up of production in the fourth manufacturing building in Dresden (Germany), expansion of silicon carbide capacities in Kulim (Malaysia), and the start of gallium nitride manufacturing on 300-millimeter wafers in Villach (Austria). Infineon also plans to further expand its backend sites in Bangkok (Thailand), and Melaka (Malaysia).

Depreciation and amortization should amount to approximately €2.2 billion in fiscal year 2027. This includes approximately €300 million of depreciation and amortization arising from purchase price allocations. Free Cash Flow adjusted for major investments in frontend buildings is expected to be approximately €2.2 billion. Free Cash Flow should reach approximately €1.8 billion.

Return on capital employed (RoCE) is expected to be in the low-teens percentage range.

The forecast for fiscal year 2027 does not take into account the announced sale of the NOR Flash and F-RAM memory business to Winbond. Subject to the required regulatory approvals, the transaction is expected to close in the second half of calendar year 2027. In case the transaction closes, the expected pre-tax proceeds from the sale would increase Free Cash Flow in fiscal year 2027 by up to €1 billion. The sale is not expected to have a material impact on revenue, Segment Result Margin, Adjusted Free Cash Flow, or RoCE in fiscal year 2027.

³ Adjusted profit (loss) for the period and adjusted earnings per share (diluted) should not be seen as a replacement or as superior performance indicator, but rather as additional information to profit (loss) for the period and earnings per share (diluted) determined in accordance with IFRS.

Infineon’s segments’ performance in the fourth quarter of the 2026 fiscal year can be found in the quarterly information at https://www.infineon.com/about/investor/reports-presentations/financial-results

All figures in this quarterly information are preliminary and unaudited.

Press and analyst conference call

On 10 November 2026 the Management Board of Infineon will host a press conference call with the media at 8:00 am (CET), 2:00 am (EST). It can be followed over the Internet in both English and German. In addition, a conference call including a webcast for analysts and investors (in English only) will take place at 9:30 am (CET), 3:30 am (EST). During both conferences, the Infineon Management Board will present the Company’s results for the fourth quarter as well as the outlook for the first quarter and the 2027 fiscal year. The conferences will also be available live and as replay on Infineon’s website at https://www.infineon.com/about/investor/reports-presentations/financial-results

The Q4 Investor Presentation is available (in English only) at:

https://www.infineon.com/about/investor/reports-presentations/financial-results

Infineon Financial Calendar (*preliminary)

17-18 November 2026 JP Morgan APAC Technology, Innovation & Growth Conference, Hongkong

19-20 November 2026 Morgan Stanley TMT Conference, Barcelona

24 November 2026 Barclays Sustainable Future Forum 2026 (virtual)

24-25 November 2026 Goldman Sachs, European AI and Semis Symposium, London

30 November 2026 UBS Tech Conference, Scottsdale

7 December 2026 ATV – Divisional Update Call with Peter Schiefer, Head of ATV, London

8 December 2026 Kepler Cheuvreux One-Stop-Shop Conference, Munich

3 February 2027* Earnings Release for the First Quarter of the
2027 Fiscal Year

25 February 2027 Annual General Meeting 2027

5 May 2027* Earnings Release for the Second Quarter of the
2027 Fiscal Year

About Infineon

Infineon Technologies AG is a global semiconductor leader in automotive, edge systems and power systems. Infineon drives decarbonization and digitalization with its products and solutions. The Company had around 58,100 employees worldwide (end of September 2026 and generated revenue of about €16.4 billion in the 2026 fiscal year (ending 30 September). Infineon is listed on the Frankfurt Stock Exchange (ticker symbol: IFX) and in the USA on the OTCQX International over-the-counter market (ticker symbol: IFNNY).

Further information is available at https://www.infineon.com/

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D I S C L A I M E R

The condensed Consolidated Statement of Financial Position, the condensed Consolidated Statement of Profit or Loss and the condensed Consolidated Statement of Cash Flows have been prepared in accordance with IAS 34 “Interim Financial Reporting”. The disclosures required by IAS 34 are not made.

The same accounting policies are applied as in the most recently published consolidated financial statements as of 30 September 2024. An exception to this principle is the application of new and revised standards and interpretations that have become effective during the year as well as a change in accounting policy as of 1 October 2024, relating to certain expenses that are now recognized in research and development costs instead of cost of sales.

The Quarterly Group Statement is prepared in accordance with the Frankfurt Stock Exchange’s stock exchange regulation 53 paragraph.

The Quarterly Group Statement 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 subject to a multitude of uncertainties and risks. Actual business development may therefore differ materially from what has been expected. Beyond disclosure requirements stipulated by law, Infineon does not undertake any obligation to update forward-looking statements.

Due to rounding, numbers presented throughout this Quarterly Group Statement and other reports may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures.

All figures mentioned in this Quarterly Group Statement are unaudited.