Infineon Technologies AG (IFXGn.DE)
FRANKFURT German chipmaker Infineon raised its medium-term profitability target on Wednesday, banking on strong growth in its automotive business as carmakers invest heavily on electric and self-driving vehicles.
* Fourth-quarter operating profit 280 mln euros (Adds CEO, CFO, analyst comment, background, updates shares,)
* CEO says company is big enough in key sectors to compete in consolidating chip market
* CEO says not planning any large acquisitions in near future
* CEO says expects to complete Wolfspeed acquisition in early 2017
FRANKFURT, Nov 23 Auto and industrial chip maker Infineon has raised its mid-term operating margin target to 17 percent from 15 percent as it expects to gain from the strong dollar and efficiency benefits from the acquisition of International Rectifier.
* Buys Innoluce BV, a Dutch fabless semiconductor company headquartered in Nijmegen, to strengthen its position in automated driving Source text: http://www.infineon.com/cms/en/about-infineon/press/press-releases/2016/INFATV201610-002.html Further company coverage:
* Cfo says sees 2015/16 sales growth at 11.5-12 percent, operating margin of 15-16 percent Further company coverage: (Frankfurt Newsroom)
* CFO says already in sluggish smartphone market, we see no weakening beyond that Further company coverage: (Frankfurt Newsroom)
* Shares 3.9 percent lower in early trade (Adds detail, background about smartphone market, updates shares)