Infineon Technologies AG

So after a stressful evening on Wednesday finding out one course has an assessment out of order (i.e. Assessment 3 due before Assessment 1 or 2, I have managed to get my act together, sort of, as I still need to workout how to add documents to my Blog. Below is a little I have concluded about my company, but what do I really know?? I may have read the reports wrong altogether?

My company is Infineon Technologies AG.

Key Concepts and Questions

Infineon manufactures semiconductors which have multiple applications for everyday life, including such things as the Wi-Fi systems or voltage regulators in our vehicles, smart LED lighting, the security chips on bank cards and passports, and items for use in the telecommunications industry. The possibility that we are using some of the technology developed by this company, either in our mobile phones or when we go shopping with our credit cards is extremely likely. Future applications are possible with the further development and introduction of energy efficient vehicles, in the form of charging stations and technology for these vehicles.

This German company was formerly a part of Siemens AG, and has been run as a separate entity since April 1 1999. 

Infineon has four (4) divisions (Automotive, Industrial Power Control, Power Management, and Chip Card & Security), with their focus being energy efficiency, mobility and security.

The Automotive and Industrial Power Control Divisions provided a combined 35 percent revenue increase in 2014 from the previous year, but only a one (1) percent increase in individual revenue.

Areas of the financial report I am having problems understanding

I am still unsure as to how the Consolidated Statement of Cash Flows fits into the spreadsheet.

I am still trying to work out what the AG means.

Areas of the business that seem most critical

The sales for the Asia-Pacific (excluding China and Japan) and China regions generate the highest revenue.

Ranked equal twelve, along with AMD, of the top 20 semiconductor manufacturers in the world, with revenue of $5.2 billion US dollars, compared to the top ranked earner (Intel) at $47 billion USD.

Key Challenges the firm appears to be facing

One of the main challenges the firm appears to be facing is the need to expand, through acquisition, and the increase of productivity to increase revenue, although the increase in production needs to be balanced so that the firm is able to maintain quality with the increased use of contract manufacturers.

How successfully the firm is meeting these challenges

Infineon’s strategy of investing 13 percent of revenue back into the business for Research and Development of new technologies appears to be working well, as the company has seen a steady increase in profitability and share price since the rapid declines they experienced during the European Debt Crisis (EDC).

I have posted a couple of videos on my blog that give a small insight into the company.

I am really looking forward to finding out what other think.