Infineon lifts 2022 revenue target as chip shortage persists

BERLIN (Reuters) - Infineon, the leading supplier of microchips to the auto industry, lifted its revenue forecast for 2022 as it predicted that a global shortage of semiconductors will continue well into the current year.

"Demand for semiconductors is outstripping supply by far," the company said as it published fiscal first-quarter financial results on Thursday.

"Electrification and digitalization continue to drive substantial growth in our target markets. We expect the supply situation in some application areas to remain tight well into the current calendar year," it said.

The leading supplier of chips to the auto industry is benefiting from a tailwind as more carmakers shift to electric vehicles, along with demand for chips used in consumer appliances and industrial equipment.

The German company now sees its 2022 revenues rising to around 13 billion euros ($14.7 billion) from 11.06 billion in 2021, having previously predicted full-year revenues of 12.7 billion.

Infineon's full-year revenue forecasts include a range of plus or minus 500 million euros.

At the mid-point of that revenue range, Infineon sees its segment result margin - a measure of operational profitability - coming to about 22%, more than the 21.4% analysts currently expect on average.

The segment result margin for Infineon's fiscal first quarter from September to December 2021, came to 22.7%, beating consensus for 21.0%.

Shares in Infineon rose 2.5% in pre-market trade at Lang & Schwarz on the news.

($1 = 0.8857 euros)

(Reporting by Maria Sheahan, editing by Kirsti Knolle)