No other manager has managed to remain at the helm of Infineon for as long since the company went public in 2000. Reinhard Ploss has managed the Munich chip manufacturer for the last four-and-a-half years. And he’s doing a good job.
A look at the latest annual report shows that Mr. Ploss has a firm grip on the DAX-listed company, and many indicators have improved once again.
Most important for investors is the fact that Mr. Ploss has now kept his main promise for the second time in a row. He has achieved the 15-percent profit margin target set by his predecessor, Peter Bauer, and has even exceeded it slightly. This is not a given, because the semiconductor producer had failed to meet its target margin for years.
The operating return – Infineon chooses the sum of segment results as its basis – was 15.2 percent in the 2016 fiscal year, which ended on September 30. This is slightly weaker than the 15.5 percent from the previous year but still significantly stronger than in the past.