Nine Months Roadshow

Transcription

1 Nine Months Roadshow July / August / September 2006 Dr. Wolfgang Ziebart President and CEO Peter J. Fischl Executive Vice President and CFO Slide-1-

2 Disclaimer Please note that while you are reviewing this information, this presentation was created as of the date listed, and reflected management views as of that date. This presentation contains certain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Such risks and uncertainties include, but are not limited to the Risk Factors noted in the Company's Earnings Releases and the Company's filings with the Securities and Exchange Commission. Slide-2-

3 Financials and Outlook AIM Review COM Review Slide-3-

4 Q3 FY06 Results: Revenues of EUR 1.97bn and EBIT of EUR 49m [EUR m] COM Rev. AIM Rev. AIM EBIT 1, , % 5.7% 3.7% 4.3% 7.8% 10.1% 8.1% COM EBIT -4.6% -42.8% -28.0% -13.9% -6.3% -9.4% -22.9% Q1 FY 05 Q2 FY 05 Q3 FY 05 Q4 FY 05 Q1 FY 06 Q2 FY 06 Q3 FY 06 Slide-4- split by revenue COM AIM 36% Others 1% 13% Qimonda 50% [EUR m] % Q1 FY % Q2 FY05-19% Q3 FY05 Qimonda 768 4% Q4 FY % Q1 FY % Q2 FY06 10% Q3 FY06

5 Maintaining a Net Cash Position [EUR m] Q2 FY06 Q3 FY06 Jun. 30, 2006 [EUR m] Operating cash flow Capex (314) (246) Gross cash 2,035 Net cash 45 Total debt 1,990 Other investments (1) 7 (263) Free cash flow (113) Slide-5- (1) Excluding purchase / sale of marketable securities. 5.00% convertible due June 2010 Other long-term debt Short-term debt

6 Business Groups' Q4 FY06 Outlook From the 2006 financial fourth quarter onwards, Infineon will provide guidance for revenues and EBIT for its non-memory businesses. Infineon expects revenues and EBIT for these businesses to increase. AIM COM AIM revenues and EBIT are expected to rise slightly qoq. In the automotive business we anticipate a seasonally weaker quarter. After two very strong quarters in the company s industrial business, Infineon expects continued demand in the fourth quarter driven predominantly by seasonality. Sales in the Security & ASICs business are expected to reaccelerate after a strong second and a weaker third quarter, driven mainly by an anticipated stronger security and chip-card business. COM revenues and EBIT are expected to improve compared to Q3 FY06. Mainly due to ramp-up of shipments to new wireless customers Slide-6-

7 Financials and Outlook AIM Review COM Review Slide-7-

8 Business Group AIM and its 7 Business Units Automotive Automotive, Industrial & Multimarket Industrial & Multimarket Security & ASICs Microcontroller Automotive Power Sense & Control Power Management & Drive Discrete Semiconductor ASIC, Design & Security Slide-8- Chip Card & Security ICs

9 Worldwide Automotive Semiconductor Market Continues to Grow; Safety is the Fastest Growing Segment % CAGR Slide-9- Market in bill. US$ Source: Strategy Analytics 9/2005 (Infotainment = Driver Information + Audio) Powertrain Safety Body Infotainment 3.6% 7.6% 11.4% 4.5%

10 Infineon Delivers Full Spectrum of Semiconductor Products for Automotive Electronics Silicon Sensors Sense Compute Actuate Power Semis Special processes High precision Great robustness MEMS Microcontrollers High current High voltage High temperatures Slide High Performance Non-volatile memory Peripheral blocks

11 Automotive Semiconductor Product Segments Sense Compute Actuate Pressure Tire Pressure Temperature Magnetic Inertia 8 bit µc 16 bit µc 32 bit TriCore (µc + DSP) Transistor MOSFET IGBT Transceiver System IC Powertrain position speed engine management transmission vehicle networks switches power supplies Body & Convenience BLDC motor control position remote keyl. entry air condition window lifter sliding roof air condition light & illumination dashboard Safety wheel speed (ABS) tire pressure roll-over ABS airbag power steering ABS power steering Slide Infotainment navigation navigation car radio telecommunication power supply for radio, navigation, etc.

12 Infineon Gained Automotive Market Share Again in % 90% 80% 7.9% 8.2% 8.7% 9.1% 9.3% Freescale Infineon 70% 60% 50% STMicro Renesas Bosch Toshiba 40% NEC 30% Philips 20% Others 10% 0% Slide Source: Strategy Analytics,

13 Industry Infineon Supplies Products for the Entire Chain Generation Transmission Consumption DC Tower DC Tower Slide IHM-Module LTT EasyPACK / PrimePACK

14 Growth Driver for CoolMOS / OptiMOS: More and More Applications Require Power Efficiency Slide CoolMOS for AC/DC power conversion OptiMOS for DC/DC voltage regulation CoolMOS 1st Gen. Lighting 1998 Motherboard Server SMPS +113% +32% +685% CoolMOS 2nd Gen. CoolMOS 3rd Gen Server Notebook Adapter +107% +42% -16% Solar +41% Notebook Graphics Card Gaming +107% Aviation +32% SFET1 OptiMOS-1 OptiMOS-2 OptiMOS-3 +4% Gaming +20% +15% CoolMOS 4thGen. Computing Adapter (PC Silverbox) Estimated Total Sales Growth (yoy) Telecom Modules Estimated Total Sales Growth (yoy) 2008

15 Ranking Power Semiconductor Market 2004 Rank Company Name Market Share Change Infineon 2 IR 3 STM 4 Fairchild 5 Toshiba 6 Vishay 7 Mitsubishi 8 Fuji Electric 8,4% 8,1% 7,8% 8,0% 7,7% 7,6% 7,2% 6,7% 6,6% 7,4% 5,9% 5,8% 5,2% 5,1% 4,7% 4,5% 0.3% -0.2% 0.1% 0.5% -0.8% -0.1% 0.1% 0.2% 9 Renesas 4,7% 4,7% 0.0% Slide ON ,4% 3,9% Source:IMS %

16 Chip Card and Security Applications Contact-based chip cards Contactless chip cards, RFID Communications Prepaid Mobile Payment Credit / Debit, e-purse Transport, Ticketing Identification epassport, national ID Social, Access RFID, e-government Entertainment Pay-TV, Gaming Video/Audio Slide

17 Financials and Outlook AIM Review COM Review Slide

18 Business Group Communication Solutions and its 7 Business Units Communication Solutions Mobile Phone Platforms Feature Phones Entry Phones Mobile Software RF Solutions RF Engine Tuner Systems Connectivity Broadband Slide Access

19 Worldwide Design-Wins in Broadband Access Danube (ADSL+VoIP) 2 of the top 5 world wide ADSL-CPE Manufacturer Vinax (VDSL2) Major Japanese Customer Vinetic (VoIP) Major Global Customer Socrates-4e (SHDSL.bis) Leading Chinese DSLAM Manufacturer Geminax-MAX (ADSL2+) Major European Customer Vinax + Vinetic (VDSL2 and VoIP) FTTC US-System manufacturer Slide Ramp-up CY 2006 CY 2007

20 Expanding RF Customer Base Through RF CMOS Leadership No. 1 in RF with approximately 200 million RF chips sold in CY05 Design-win for EDGE (SMARTi PM) at Samsung; ramp-up in FQ3. Two further design-wins for other RF transceivers at two other major customers. SMARTi 3GE HSDPA / WCDMA / EDGE SMARTi 3G HSDPA / WCDMA SMARTi PM EDGE Slide World's first CMOS onechip 6-band WCDMA and 4-band EDGE transceiver World's first CMOS single-chip 6-band transceiver World's first CMOS EDGE single-chip transceiver

21 Competitive Mobile Phone Platforms Offering Leads to Several Design Wins Customer Platform Ramp-up Specification ODM GSM ULC 2H CY06 BB + RF: E-GOLDradio BenQ GSM / GPRS Entry phone 2H CY06 BB + RF: E-GOLDradio BlueMoon UniCellular (2.0 + EDR) BenQ EDGE Multimedia 2H CY06 BB: S-GOLD2; RF: SMARTi PM LG 2x EDGE Multimedia Now! BB: S-GOLD2, RF: SMARTi PM BlueMoon UniCellular (2.0 + EDR) OEM EDGE Multimedia 1H CY07 BB: S-GOLD2; RF: SMARTi PM BlueMoon UniCellular (2.0 + EDR) Panasonic 3G Multimedia 2H CY06 BB: S-GOLD2 + co-proc. RF: SMARTi PM + SMARTi 3G BlueMoon UniCellular (2.0 + EDR) Slide

22 Qimonda contact for Investors and Analysts Qimonda Investor Relations: Mr. Andreas Schaller +49 (89) The World's Leading Creative Memory Company Slide

23 Slide Never stop thinking.