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(Sharecast News) - Germany's Infineon Technologies posted a surge in fourth-quarter earnings and forecast further growth on Tuesday, as the chipmaker cashed in on the rapid build out of data centres.
The Frankfurt-listed business saw revenues jump 19% in the three months to September end, while the segment result - its core measure of adjusted operating profits - rocketed 56%. The robust end to the year meant annual revenues came in at 16.4bn, a 12% improvement on the previous year, while operating profit soared to 2.2bn from 1.5bn.
Infineon growth has been driven by demand from data centres, power infrastructure and software-defined vehicles.
Looking to current trading, and chief executive Jochen Hanebeck said the business had entered the new fiscal year with "strong momentum".
He continued: "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 centre power supplies, the expansion and modernisation of energy infrastructure, electromobility and software-defined vehicles will be key contributors."
The company is currently forecasting revenues to come in around 20bn in the current year, with revenues from power supplies for data centres projected to reach close to 4bn. The segment result margin was forecast to be in mid twenties percentage range. It also flagged 3bn to 3.5bn of planned investments.
As at 1400 GMT, shares in Infineon - which was spun out of German engineering giant Siemens in 1999 - had sparked 3%
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