Company Presentation - Rutronik · Efficient powertrain for combustion, electric and hybrid vehicles, charging station for electric vehicles, car safety, assistance systems and safety

Company Presentation August 2017

Infineon at a glance

Financials Market Position

Business Segments Employees

377 620 897 982

FY 13 FY 14 FY 15 FY 16

[EUR m]

Europe

15,176 employees

More than 36,000 employees worldwide (as of Sep. 2016)

Americas

3,691 employees

Asia/Pacific

17,432 employees

34 R&D locations 19 manufacturing locations

Revenue Segment Result Margin

15.2% 15.5% 14.4% 9.8%

3,843 4,320

5,795 6,473

41%

11%

17%

31%

Automotive

(ATV)

Industrial Power

Control (IPC)

Chip Card &

Security (CCS)

Power Management & Multimarket (PMM)

Revenue FY 2016

# 2 # 1

Automotive Power Smart card ICs

# 1

Strategy Analytics, April 2017

IHS Markit, Technology Group,

October 2016

IHS Markit, Technology Group,

July 2017

2 2017-08-01 Copyright © Infineon Technologies AG 2017. All rights reserved.

Part of your life.

Part of tomorrow.

We make life easier, safer and greener – with technology that achieves more, consumes

less and is accessible to everyone. Microelectronics

from Infineon is the key to a better future.


Infineon enables eco-friendly, connected and safe mobility

Applications

Efficient powertrain for combustion, electric and hybrid vehicles, charging station for electric vehicles, car safety, assistance systems and safety systems, comfort electronics, authentication, mobile security, traction

Courtesy: AUDI


Infineon enables efficient generation, transmission and conversion of electrical energy

Applications

Energy transmission and conversion, renewable energy generation, home appliances, power tools, power management (adapters, chargers, power supplies), LED lighting systems, mobile devices, industrial drives, industrial vehicles

Courtesy: AUDI


Infineon enables security in the connected world

Applications

Internet of Things, Industry 4.0, mobile security, embedded security, trusted computing, machine to machine, (mobile) payment, SIM applications, transport ticketing, government identification

Courtesy: AUDI


Top positions in all major product categories

Discrete power semiconductors and power modules

Source: IHS Markit, Technology Group, “Power Semiconductor Annual Market Share Report”, October 2016

Microcontroller-based smart card ICs

Source: IHS Markit, Technology Group, “Smart Cards Semiconductors Report”, July 2017

Automotive semiconductors incl. semiconductor sensors

Source: Strategy Analytics, “2016 Automotive Semiconductor Vendor Share”, April 2017

Automotive semiconductors

total market in CY 2016: $30.2bn

Power semiconductors


Smart card ICs


2.0%

2.5%

2.9%

4.5%

5.3%

7.4%

7.8%

9.8%

10.7%

14.0%

Micron

Rohm

Toshiba

On Semi

Bosch

STMicro

TI

Renesas

Infineon

NXP

2.4%

2.9%

4.1%

4.1%

4.7%

5.0%

5.7%

6.3%

10.3%

18.7%

NXP

Semikron

Renesas

Fuji

Toshiba

Vishay

STMicro

Mitsubishi

ON + FCS

Infineon

9.3%

10.5%

16.2%

24.2%

24.8%

CEC Huada

STMicro

Samsung

NXP

Infineon


Our strategy is targeted at value creation through sustainable profitable growth

Average-cycle financial targets

~8% Revenue growth

~17% Segment result margin

~13% Investment-to-sales

(thereof capex*: ~11%)

* Infineon reports under IFRS

System leader in automotive

#1; system and technology leader

Broad RF and sensor technology

portfolio

Leader in security solutions

Auto Power RF Security

›Focus on fastest growing segments of semi market

›Tackle global megatrends

›Leverage core competencies in different end markets to maximize ROI

›Create value for customers through system understanding

Focus Technology leadership System understanding


The outlook for the global semiconductor market remains positive

Source: WSTS for historical data. Forecast: of WSTS, IHS Markit, Gartner, IC Insights; last update 28 July 2017

Global semiconductor market in billion $

Forecast revenue range Market size (revenue)


Infineon benefits from industrial and auto, the by far fastest growing segments

4.0%

4.1%

5.7%

5.8%

6.4%

7.0%

7.5%

Chip Card ICs**

Communications

Total Semi Market

Consumer

Data Processing

Industrial

Automotive

Source: IHS Markit, Technology Group, “Worldwide Semiconductor Shipment Forecast”, July 2017 * Market size in calendar year 2016 ** Source: ABI Research, “Smart Cards and Secure ICs”, February 2017; smart card and embedded secure microcontroller ICs

CAGR 2016 – 2021 by Semiconductor Industry Segment

$352bn*

$112bn*

$44bn*

$32bn*

$36bn*

$129bn*

$3.5bn*


Financial Year 2016: Revenue Split by Segment

FY 2016 Revenue: € 6,473m

* Other Operating Segments; Corporate & Eliminations

Chip Card & Security

Automotive

Power Management & Multimarket

Industrial Power Control

€ 2,651m

€ 698m

OOS+C&E*

€ 1m

€ 1,073m

€ 2,050m

41% 17%

31% 11%


Infineon Group Results for FY 2015* and FY 2016

Segment Result (SR) 897 982

[€ Million] 2015 2016

Net Income 634 743

SR Margin 15.5% 15.2%

Investments 785 826

Free Cash Flow -1,654 490

Market capitalization** ~11,355 ~17,987

Net Cash 220 471

Revenues Net Income

Revenues 5,795 6,473

** share price as of September 30th, 2015: 10.06 Euro; share price as of September 30th, 2016: 15.88 Euro

FY15 FY16 FY15 FY16

743

5,795

634

6,473

+12%

* Since 13th January 2015 inclusive International Rectifier


Infineon Group Results for Q2 FY17 and Q3 FY17

Segment Result (SR) 296 338

Net Income 199 253

SR Margin 16.8% 18.5%

Gross Cash Position 2,049 2,217

Free Cash Flow 82 301

Net Cash Position 32 358

Revenues 1,767 1,831

253

1,767

199

Q2 FY17 Q3 FY17

1,831

+4%

Revenues Net Income

[€ Million] Q2 17 Q3 17


Tight customer relationships are based on system know-how and app understanding

Distribution partners EMS partners

ATV IPC CCS PMM


Automotive Segment – Making cars clean, safe and smart

› Clean combustion engines

› Efficient energy management

› Electrified drivetrain

› Occupant and pedestrian protection

› Collision avoidance

› Advanced driver assistance

› Individual convenience

› Secure connectivity, data integrity and privacy

Clean Safe Smart


Industrial Power Control Segment – Driving industry and much more

› General purpose drives

› Medium voltage drives

› Servo drives

› Elevators

› Refrigerators

› Air conditioners

› Washing machines

› Wind power plants

› Solar power plants

› High-voltage direct current trans-mission (HVDC)

Drives

› (High speed) trains

› Locomotives

› Subway

› Light rails

Home Appliances Renewables Traction


Computing Mobile devices

Cellular infrastruc

-ture Charger Lighting

Power Management Radio Frequency & Sensing

Power Management & Multimarket Segment – Achieving more, consuming less

Sensing

High Reliability

Space Aviation/ Defense

Medical ICD

Hi-Temp. /Heavy Industry

MOSFETs, Power ICs, RF switches, LNAs, Si-Mics, RF power, Radar ICs, Environmental Sensors

mmW/ Radar


Chip Card & Security is enabling security for the connected world

Smart Cards Embedded Security

› Smart card payment

› Electronic passports and ID documents

› SIM cards for mobile communication

› Transport ticketing

› Mobile device security and payment

› Information and communications technology (ICT) security

› Industrial and automotive security

› IoT connected device security


Product range

Industrial Power Control (IPC)

› Bare die business

› Discrete IGBTs

› Driver ICs

› IGBT modules (high-power, medium-power, low-power)

› IGBT module solutions incl. IGBT stacks

Power Management & Multimarket (PMM)

› Control ICs

› Customized chips (ASICs)

› Discrete low-voltage and high-voltage power transistors

› GPS low-noise amplifier

› Low-voltage and high-voltage driver ICs

› MEMS and ASICs for silicon microphones

› RF antenna switches

› RF power transistors

› TVS (transient voltage suppressor) diode

Chip Card & Security (CCS)

› Smart card (contactless and contact-based) and embedded security ICs

› Turnkey security solutions e.g. OPTIGA™ Trust, OPTIGA™ TPM

› Packaging and service portfolio

› CIPURSE™ open standard based solutions

› Innovative solutions from basic security RFID and memories to high-end security controllers

› Leading technologies e.g. SOLID FLASH™, Integrity Guard, Coil on Module

Automotive (ATV)

› 32-bit automotive microcontrollers for powertrain, safety and driver assistance systems

› Discrete power semiconductors

› Magnetic and pressure sensors

› IGBT modules

› Power ICs

› Radar

› Transceiver (CAN, LIN, Flex Ray™)*

› Voltage regulators

*FlexRay is a trademark licensed by FlexRay Consortium GbR

Status: 30 September 2016


Our global R&D network

Malacca

Ipoh

Beijing

Morgan Hill

Seoul

Shanghai

Bangalore Torrance

Warstein

Duisburg

Bristol

Augsburg

Neubiberg (Munich)

Padua

Villach

Graz

Regensburg

Dresden

Bucharest

Linz

Warwick

Tewksbury

Karlsruhe

Le Puy Sainte

Réparade

Pavia

Skovlunde

El Segundo

San José

Leominster

Chandler

Singapore

Reigate

Manila

Mesa



Worldwide manufacturing sites frontend and backend

Dresden Beijing

Wuxi

Batam Warstein Cegléd Malacca

Kulim Leominster San Jose Morgan Hill

Mesa

Tijuana

Temecula

Singapore

Newport

Cheonan

Regensburg Villach

Frontend Backend Status: 30 September 2016


Our global sales network

São Paulo

Kokomo

Livonia

Bangalore

Seoul

Singapore

Lebanon

Beijing

Milpitas

Blackburn (Melbourne)

Osaka

Shenzhen

Taipei

Tokyo

Nagoya

Hong Kong

Shanghai

Rotterdam

Milan

Marseille

Stuttgart

Paris

Warstein

Madrid

Dublin

Bristol

Stockholm

Espoo

Moscow

Villach

Erlangen

Zurich

Neubiberg (Munich)

Hanover

Frankfurt

Xi'an

El Segundo

Reigate

Istanbul

Barcelona

Duisburg

Leominster

Hayward

Durham

Raleigh

Karlsruhe

Vienna



Corporate Social Responsibility (CSR)

› CSR comprises our voluntary commitment in: Human Resources Management and Human Rights, Environmental Sustainability, Occupational Safety and Health, Corporate Citizenship*, CSR Supply Chain Management as well as Business Ethics.

› Infineon entered the UN Global Compact as one of the first semiconductor companies already in 2004 and is voluntarily committed to the 10 Principles.

› Infineon is for the 7th time listed in the Sustainability Yearbook.

› Infineon is continuously listed in the Dow Jones Sustainability

Index since 2010 and for the second time in the Dow Jones Sustainability World Index in 2016 and thus is among the

top 10% of the most sustainable companies in the world.

› Infineon does not compromise in human rights and business ethics.

› Infineon's products and solutions as well as our efficient resources management enable a significant net ecological benefit.

*social engagement of companies.


Corporate Social Responsibility We are excellent in resources efficiency

About 33% less water consumed per square centimeter manufactured wafer than the global average

About 45% less electricity consumed per square centimeter manufactured wafer than the global average

About 47% less waste generated per square centimeter manufactured wafer than the global average

At Infineon, less is more

We use resources much more efficient in our production processes than the global average of the semiconductor industry.

Basis for the calculations are the square centimeters processed wafer area in the front-end production and consumptions according to WSC definition.

-45% -33% -47%


Business Continuity Integrated management

Business Continuity ISO 27001* ISO 50001**

ISO 14001* OHSAS 18001*

Loss & Fraud Investigations

Real Estate & Facility

Management

Business & Operations

Support

Environmental Affairs,

Sustainability & Energy

Management

Information/ IT Security &

Data Protection

Corporate Social

Responsibility

Export Compliance

Business Continuity Planning

Security & Crisis

Management

Asset Protection

*ISO 27001/14001/OHSAS 18001 worldwide certification scheme; ** ISO 50001 certified at EU sites


Let's get connected

www.facebook.com/infineon

www.google.com/+infineon

www.twitter.com/infineon www.youtube.com/infineon

www.infineon.com/xing

www.infineon.com/linkedin

CUSTOMERS PRESS

INVESTORS CAREERS


http://www.infineon.com/cms/en/about-infineon/investor/

http://www.infineon.com/cms/en/about-infineon/press/

http://www.facebook.com/infineon

http://www.google.com/+infineon

http://www.twitter.com/infineon

http://www.youtube.com/infineon

http://www.infineon.com/xing

http://www.infineon.com/linkedin

http://www.facebook.com/infineon

http://www.google.com/+infineon


http://www.twitter.com/infineon


http://www.youtube.com/infineon

http://www.infineon.com/cms/en/careers/

http://www.infineon.com/

Documents

Company Presentation - Rutronik · Efficient powertrain for combustion, electric and hybrid vehicles, charging station for electric vehicles, car safety, assistance systems and safety