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Infineon Technologies AG reported solid results for Q2 FY2026 and raised its full-year outlook, citing accelerating demand from AI data centers, power infrastructure, and industrial applications.
For the quarter, Infineon generated revenue of €3.812 billion with a Segment Result of €653 million, corresponding to a Segment Result Margin of 17.1%. Looking ahead to Q3 FY2026, the company expects revenue of approximately €4.1 billion and profitability in the high-teens percentage range.
Infineon also upgraded its full-year FY2026 guidance. The company now expects significant year-over-year revenue growth, improved gross margins in the low-to-mid 40% range, and a Segment Result Margin around 20%. Free cash flow expectations were also increased, reflecting stronger operating momentum and improved profitability.
A major driver behind the upgraded outlook is the continued AI infrastructure boom. Infineon highlighted particularly strong demand for power supply solutions used in AI data centers, where high-efficiency power conversion and power distribution technologies are becoming increasingly critical. The company also pointed to accelerating investment in power infrastructure as an important growth catalyst for its industrial business.
In automotive, Infineon reported positive traction in software-defined vehicle platforms and continued market share gains, although demand in the high-voltage e-mobility segment remains challenging.
Strategically, Infineon announced an organizational restructuring that will reduce its business segments from four to three starting in Q4 FY2026. The new structure will consist of Automotive (ATV), Power Systems (PS), and Edge Systems (ES), aimed at streamlining decision-making and accelerating deployment of system-level solutions.
From a market perspective, the results reinforce Infineon’s strong positioning at the intersection of AI power delivery, industrial electrification, and automotive semiconductors. The company continues to benefit from structural demand growth for efficient power semiconductors, particularly in silicon carbide and GaN-enabled power architectures supporting AI data centers and next-generation energy systems.
Original – Infineon Technologies
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Navitas Semiconductor reported first-quarter 2026 results showing sequential revenue growth as the company continues its transition toward higher-power applications centered on AI infrastructure, industrial electrification, and energy systems.
Revenue for Q1 2026 reached $8.6 million, up 18% sequentially from Q4 2025, although still below the $14.0 million reported in the prior-year quarter. The company highlighted that high-power applications now represent a growing majority of revenue, reflecting its strategic shift away from legacy mobile and consumer markets.
Non-GAAP gross margin improved slightly to 39.0%, while GAAP gross margin remained negative due to restructuring impacts and operating scale challenges. Navitas reported a GAAP operating loss of $27.8 million, though losses improved versus the previous quarter following restructuring actions. Cash and equivalents stood at $221 million at quarter-end.
Strategically, Navitas emphasized its “Navitas 2.0” transformation, positioning both GaN and high-voltage SiC technologies as key enablers of next-generation AI data center power architectures. During the quarter, the company showcased several high-profile developments, including:
- An 800 V-to-6 V GaN-based power delivery board targeting AI data centers with up to 97.5% peak efficiency
- A 250 kW solid-state transformer demonstrator developed with EPFL using 3300 V and 1200 V SiC technology
- Expanded 5th-generation SiC MOSFET packaging solutions optimized for AI server power supplies
The company also strengthened leadership by appointing semiconductor veteran Gregory Fischer to its board as part of its broader transformation strategy.
Looking ahead, Navitas expects Q2 2026 revenue to grow to approximately $10 million, representing another quarter of double-digit sequential growth, alongside modest gross margin improvement.
From a market perspective, the results illustrate a broader industry trend: wide-bandgap semiconductor vendors are increasingly pivoting toward AI-driven power infrastructure opportunities. Navitas is positioning itself at the intersection of GaN and high-voltage SiC adoption, targeting fast-growing segments such as AI data centers, grid infrastructure, and industrial electrification.
While profitability remains a challenge, the company’s expanding engagement in high-power systems and AI-related architectures indicates growing traction in markets with significantly larger long-term revenue potential than its historical mobile-focused business.
Original – Navitas Semiconductor
