Infineon Forecasts Return to Sales Growth as AI Chip Demand Keeps Booming

By Mauro Orru

Infineon Technologies expects sales to grow in the new fiscal year as demand for chips powering artificial-intelligence data centers keeps booming, while appetite for other semiconductors used in cars, industrial machinery and consumer electronics remains subdued.

The German chip maker said revenue in the year to the end of September 2026 should increase moderately from the 14.66 billion euros it reported for fiscal 2025. Its segment result margin--a key profitability measure--is expected to come in a high double-digit percentage range compared with 17.5% in fiscal 2025.

Infineon said it would propose a dividend of 0.35 euros a share for fiscal 2025 at its annual general meeting in February, stable from the prior year.

The company posted 3.94 billion euros ($4.53 billion) in sales for the three months to the end of September, up 1% on year. Analysts had forecast quarterly sales of 3.91 billion euros, according to a Vara Research consensus.

Infineon swung to a quarterly net profit of 231 million euros from a net loss of 84 million euros a year earlier. However, its segment result slipped to 717 million euros from 832 million euros, generating an 18.2% margin.

Analysts had forecast a net profit of 467 million euros, a segment result of 733 million euros and an 18.8% margin, according to the consensus.

For the current quarter, Infineon is expecting sales of around 3.6 billion euros and a segment result margin in a mid to high double-digit percentage range.

Write to Mauro Orru at mauro.orru@wsj.com

(END) Dow Jones Newswires

November 12, 2025 01:55 ET (06:55 GMT)