Infineon to See Revenue Decline Across Segments, Except Automotive

German semiconductor solutions provider Infineon Technologies (FRA: IFX) is projected to see revenues decline across key segments in 2024, except for the company’s automotive segment, which is estimated to see growth moderate from the highs observed in 2022-2023. The company reported +11% year-over-year revenue growth in its automotive segment in 1Q 2024. Growth is expected to moderate, however, to +0.2% in the upcoming quarter. Meanwhile, the outlook for Infineon’s other revenue streams suggests a significant decline.

The automotive segment, influenced by a sluggish electric vehicle (EV) market, is estimated to see +9% revenue growth in 2024, down from the robust 27% growth in 2023 and 35% seen in 2022. Conversely, analysts anticipate sharp declines in the company’s other revenue segments. The industrial and multimarket segment, representing approximately 33% of Infineon’s revenue, is forecasted to experience a -15% year-over-year revenue decrease in 2024. Connected secure systems, contributing around 10% of Infineon’s revenue, is expected to see a revenue decline of -21%. Overall, Infineon’s revenues for 2024 are projected to decrease by -4% to an estimated €15.7 billion.