Good morning, everyone. Welcome to the conference call for analysts and investors for Infineon's 2026 fiscal first-quarter results. Today's call will be hosted by Alexander Foltin, Executive Vice President Finance, Treasury, and Investor Relations at Infineon Technologies. As a reminder, this call is being recorded. This conference call contains forward-looking statements and/or assessments about the business, financial condition, performance, and strategy of the Infineon Group. These statements and/or assessments are based on assumptions and management expectations resting upon currently available information and present estimates. They are subject to a multitude of uncertainties and risks, many of which are partially or entirely beyond Infineon's control. Infineon's actual business development, financial condition, performance, and strategy may therefore differ materially from what is discussed in this conference call. Beyond disclosure requirements stipulated by law, Infineon does not undertake any obligation to update forward-looking statements. At this time, I'd like to turn the call over to Infineon. Please go ahead. Thank you, Matilda. Good morning, ladies and gentlemen. Thank you for joining our first earnings call in 2026. New beginnings, tried-and-tested setup. At this call, you have our CEO, Jochen Hanebeck, our CFO, Sven Schneider, and our CMO, Andreas Urschitz. Jochen and Sven will provide an overview on the market situation and divisional performance, key financials, and of course our outlook with a spotlight on our AI business. After that, we will start our Q&A session. As usual, the illustrating slideshow is available at infineon.com/slides, and we will provide a PDF with Jochen's and Sven's introductory remarks in the course of the call on our website, namely infineon.com/investor. This is also your go-to place for a recording of this conference call, including the aforementioned slides, a copy of our earnings press release, as well as our investor presentation. And now, Jochen, over to you. Thank you, Alexander, and good morning, everyone. 2026 is barely more than a month old, and yet multiple dynamic geopolitical developments have unfolded, affecting our markets in various ways. At Infineon, the past few weeks have been eventful and successful. Already in our last earnings call, we discussed how the breadth and intensity of the recovery in semiconductor markets outside of AI would be challenging to predict in the light of very dynamic external circumstances. Near-term indicators such as order intake or lead times are now starting to align in a positive way, and visibility is improving. That said, we feel our view of a gradual and uneven recovery remains appropriate for the time being. In addition, setting a prudent bar has proved to be a sound approach to full-year forecasting in these times. Automotive and industrial markets are beyond the cyclical trough, but demand has yet to really inflect. Consumer, compute, ex-AI, and communication markets are in the early innings of the upcycle. AI remains the clear standout, continuing its extraordinary growth propelled by sustained massive investment in data centers and related infrastructure. We will double down on the highly attractive opportunities opening up for Infineon as the leader empowering AI by ramping up capacities even faster than previously planned and pulling in related investments. At the same time, we are continuing to strategically build the best-in-class portfolio in the categories of power, analog and sensors, control, and connectivity aligned to our leadership claim in power systems and IoT. With adding the non-optical analog mixed-signal sensor portfolio from ams OSRAM addressing Automotive, industrial, and medical applications in equal parts, we are significantly strengthening our sensor capabilities and will be able to offer our customers even more comprehensive system solutions. More on both topics: accelerated AI investments and the acquisition of ams OSRAM sensors in the PSS section. As you can see, Infineon and the beginning of 2026 have one thing in common: speed. Our fiscal year 2026 saw a successful start pursuant to our guided numbers. Revenues in the December quarter came in at EUR 3.662 billion. The sequential decline of 7% is basically in line with our usual seasonality. Compared to the same quarter one year earlier, our first fiscal quarter's revenue were up 7%. On a currency-adjusted basis, annual growth would have been close to 14%, given that the US dollar has considerably weakened over the past 12 months. The segment result for the December quarter amounted to EUR 655 million, corresponding to a resilient segment result margin of 17.9%, relatively stable compared to 18.2% in the quarter before. Sven will talk about the puts and takes in his section. Our order backlog increased by a good EUR 1 billion quarter-over-quarter to around EUR 21 billion at the end of December. It is rising continuously now for around six months. Given that this number reflects price adjustments resulting from annual contract negotiations, the underlying uplift is stronger as recovery momentum is building. Now to our divisional review, starting with Automotive. In the first quarter of the 2026 fiscal year, Automotive revenues amounted to EUR 1.821 billion, sequentially down by 5%, driven by usual seasonal order patterns and the anticipated pronounced inventory management by customers towards calendar year-end. On a year-over-year basis, Automotive grew by 4%, which equates to about 10% at constant currencies. The segment result came in at EUR 403 million, with a segment result margin of 22.1%, relatively stable compared to the quarter before. Fall-through from volume declines was mitigated by lower underutilization costs resulting from internal capacity transfers to AI-related products, as well as positive mix effects. Looking at the overall market development for Automotive semiconductors in 2026, we continue to assess the situation in the same cautious manner as communicated in November. Car volumes have thus far been tracking in line or slightly above expectations, while several uncertainties regarding momentum in China or the impact of U.S. tariffs persist. Looking at secular content drivers, the near-term picture remains differentiated. E-mobility is challenged by headwinds like withdrawals and reduction of subsidies, and a generally less favorable regulatory background. Recent announcements like the reintroduction of EV purchase incentives in Germany will have a limited impact on the current year. In contrast, the transition to software-defined vehicles is gathering momentum, and more and more such models are being launched globally. Further trends supporting semiconductor growth, such as higher-level ADAS, increased comfort features, and the upcoming introduction of the 48-volt architecture, remain unabated. With our leading franchise of Automotive solutions, Infineon is ideally positioned to serve customers across all the mentioned trends. Recognizing their different developments, we are actively shaping our business portfolio. On the power side, for electric vehicles, we are reducing our exposure to less differentiated silicon-based high-power parts for drivetrains, focusing instead more on silicon carbide complemented by analog sensor control and connectivity parts. On the side of software-defined vehicles, the recent addition of Automotive Ethernet capabilities proves to be ideal to comprehensively support our broad customer base. Furthermore, our family of AURIX microcontrollers, which is defining the gold standard from zone-to-edge computing, is outgrowing the MCU market, and we expect several new platforms in 2026 to ramp. Lenovo's choice of Infineon's AURIX as safety host for their flagship autonomous driving domain controller units is another testimony to our global customer landscape. We also see consistent design win momentum in our non-drivetrain, powertrain, and analog categories. This includes components for the latest 48-volt-based power steering for a major American OEM platform, as well as an upcoming functional safe steer-by-wire system for a German premium OEM. The design wins cover our line of Automotive-grade MOSFETs, as well as related analog power management ICs and gate drivers, and of course, AURIX microcontrollers. Now to Green Industrial Power. The segment recorded revenues of EUR 349 million in the December quarter, which is typically the seasonally weakest one. All areas witnessed sequential declines, with the exception of grid infrastructure, where revenues rose substantially. With effect of the beginning of our running 2026 fiscal year, we merged our gate driver business with a high double-digit million EUR annual sales volume from GIP into PSS. Historic numbers have been adjusted accordingly. Bearing this in mind, the like-for-like quarter-over-quarter revenue decline of GIP was a steep 21%, reflecting, besides seasonality, an ongoing challenging market environment. Correspondingly, the segment result of GIP dropped to EUR 31 million, equivalent to a segment result margin of 8.9%. Industrial markets revenues are closely correlated with global economic health. In the light of continuing macroeconomic uncertainties, only a shallow recovery for core industrial applications is expected in the near term. Similarly, there are no clear signs for an upswing in HVAC or home appliances. Regarding renewable energy generation, solar and wind installation are expected to stay on a high level, leading to a more or less flat inverter market. The picture on the grid infrastructure side is brighter and will support midterm growth: continuously rising investments into AI data centers and a higher share of renewables in the energy mix call for expanding, modernizing, and stabilizing the power grid. High reliability is a key requirement here. Our product portfolio, in particular our leading silicon carbide technology and related module offering, positions us optimally to benefit from grid upgrades. Such upgrades will involve applications like large-scale energy storage systems, uninterruptible power supplies, and solid-state circuit breakers and solid-state transformers. Regarding the latter, we are engaged in dozens of customer projects with very promising midterm business potential. Let's now move to the Power and Sensor Systems segment. PSS printed revenues of EUR 1.171 billion in the December quarter. The small sequential decline of 3% on a comparable basis, adjusted for the transfer of gate drivers from GIP, is the result of opposing developments. On the one hand, power solutions for AI service saw unabated very strong momentum. On the other, smartphone components showed their usual negative seasonality. Furthermore, as we had flagged in our last earnings call, we faded out so-called fab fillers, which we had temporarily put in to utilize otherwise idle manufacturing capacities. These developments are also reflected in the margin trajectory of PSS. The segment result increased to EUR 204 million, corresponding to a segment result margin of 17.4% after 14.5% in the previous quarter. On the market side, demand for consumer, general compute, and communications applications shows signs of a broader pickup. Yet, customer ordering behavior remains short-term oriented amid macroeconomic volatility. A vastly different dynamic applies to AI. Powering data centers constitutes an unprecedented growth opportunity. Infineon is at the forefront of it. Our unmatched portfolio breadth, system understanding, speed of innovation, quality, and delivery capability make us the partner of choice for all relevant GPU makers and cloud providers. Our revenues from AI power solutions keep growing steeply. We reconfirm our target of around EUR 1.5 billion for this fiscal year. This number is still supply-limited, in other words, not capped by demand, but by how fast we and our manufacturing partners can bring up capacity. And let me be clear: in contrast to some peers, which in their disclosure do not differentiate between AI and other enterprise data center business, the EUR 1.5 billion of Infineon are purely related to AI. Separately, we do another EUR 500 million, give or take, of classical data center revenues. Meanwhile, projections of buildouts of AI data centers and related infrastructure keep going up. More and more, AI is showing tangible benefits and real-life use cases. Several of these we witness in our own company, for example, improving and speeding up chip design, software development, or customer engagement. The demand from our customers for the coming years is still going up quarter by quarter. Therefore, we are doubling down on AI. We have decided to pull in EUR 500 million this fiscal year to accelerate AI-related capacity increases in order to fuel growth beyond the running fiscal year. These investments, including the conversion of existing IGBT capacities, are capital-efficient and will underpin our market leadership. A large part of them will be used for faster-than-originally planned ramp-up of our new power and analog mixed-signal fab module in Dresden. Fortunately, we are able to accelerate the opening of the facility to this summer. With the additional capacity, we project to achieve AI-related revenues of around EUR 2.5 billion in our 2027 fiscal year. Said differently, we will add another EUR 1 billion of margin accretive business next year, thus expanding our AI revenues by a factor of 10 within just three years. Let me also briefly comment on the announced acquisition of the non-optical analog mixed-signal sensor portfolio from ams OSRAM. The transaction is a perfect strategic fit, as it will strengthen our position as a leader in sensors for Automotive industrial markets through a complementary portfolio and extend our product range in medical applications. The acquired portfolio adds advanced mixed-signal and medical imaging technologies that complement our strong position in high-precision sensing. The transaction is structured as a fabless asset deal with a purchase price of EUR 570 million, covering sensor products, R&D capabilities, intellectual property, and equipment. It is subject to customary closing conditions, including regulatory approval, and it is expected to close by the second quarter of calendar year 2026. Around 230 highly skilled employees will join our sensor units and RF organization within the PSS division. The business is expected to generate around EUR 230 million in revenue in calendar year 2026. The transaction will be accretive to earnings per share right upon closing, with future synergies enabling substantial additional value creation. Thereby, our acquisition criteria for strategic, financial, and cultural fit are all fully met. Now to Connected Secure Systems. The revenue of CSS of EUR 321 million constitutes a quarter-over-quarter decline of 13%, driven by a mix of seasonality and the fulfillment of CRA orders in the preceding quarter. The segment result of CSS decreased to EUR 23 million, resulting in a segment result margin of 7.2%. The market for IoT solutions remains in the doldrums at present, with macroeconomic risk and low consumer confidence weighing on recovery expectations. Over time, AI moving to the edge will open up more and more opportunities for innovative industrial and consumer applications. AI-enabled secure, connected, low-power devices will proliferate. Market researchers project their number to reach 30 billion by 2030. By strengthening our hardware and software competencies in this field further, we are positioning Infineon optimally to reap structural growth opportunities. Take connectivity as an example. We announced the industry-first Wi-Fi 7 20-MHz tri-radio device optimized for IoT. The new product integrates Wi-Fi 7, Bluetooth Low Energy, Thread, and Matter in a single device. It has the lowest Wi-Fi connected standby power in the market and allows customers to achieve reliable performance for increasingly congested smart home and commercial environments. Now over to Sven, who will comment on our key financial figures. Thank you, Jochen, and good morning, everyone. Let me first highlight our margin development in the December quarter. Notwithstanding the sequential revenue decline, the adjusted gross margin expanded by 230 basis points to 43% after 40.7% in the quarter before. The reported gross margin increased quarter-over-quarter from 38.1% to 39.9%. As predicted, the temporary fab fillers on the consumer side of PSS, which had burdened margin levels at group level by around one percentage point in the previous quarter, were ended. Furthermore, the margin was supported by improved productivity and by lower idle costs quarter-over-quarter. After loading reduction in the previous quarter, we selectively increased fab loading and inventory levels again to be well prepared for the recovery in broader markets. Offsetting the gross margin expansion somewhat was the increase in research and development expenses from EUR 565 million to EUR 626 million in the December quarter. While items like public funding or capitalization rates fluctuate and can distort quarterly comparisons, the underlying trend reflects our clear conviction that innovation remains key to our differentiation and, hence, value creation. In the field of connectivity, we are further expanding our Brightlane family of Ethernet switches and PHYs. Or think of the tri-band device for IoT, including Wi-Fi 7 that Jochen just mentioned. Unlike R&D, our selling general and administrative expenses remained practically flat, with EUR 409 million. Non-segment result charges for the first fiscal quarter amounted to EUR 267 million. The financial result for the December quarter amounted to minus EUR 56 million after minus EUR 64 million in the quarter before. Income tax expense for the December quarter was EUR 82 million, a noticeable decline from the EUR 152 million in the quarter before, which had contained several valuation effects related to deferred taxes. The effective tax rate for the first quarter of our 2026 fiscal year was 24%. Cash taxes for the same period were EUR 70 million. Adjusting for PPA effects, the quarterly cash tax rate stood at 15%. Given typical time lags between prepayments and adjustments, we currently expect this rate to go up throughout the year towards 20%-25%. Our investments in property, plant, and equipment, other intangible assets, and capitalized development costs increased quarter-over-quarter from EUR 451 million to EUR 582 million. Depreciation and amortization expenses, including acquisition-related non-segment result effects, amounted to EUR 478 million. Our free cash flow in the quarter under report came in at -EUR 199 million, given that the previous quarter's number was significantly influenced by the closing of the acquisition of Marvell's Ethernet business. A like-for-like comparison should consider the strong organic free cash flow of EUR 904 million recorded in the September quarter. Compared to this figure, we saw a lower business volume, fewer public funding receipts, higher investments, the payout of the bulk of annual variable compensation, and an overall negative working capital effect in the December quarter. The latter was mainly driven by the increase in on-books inventories, as mentioned earlier, their reach now being at 183 days. Now to our liquidity and leverage situation. The negative quarterly free cash flow led to a decline in our gross cash position from around EUR 2.1 billion to around EUR 1.8 billion at the end of December. Gross debt remained unchanged at EUR 6.8 billion after the initial financing of the Marvell Ethernet acquisition in the previous quarter. The resulting net debt amounts to around EUR 5 billion. Our gross leverage remains around our self-defined threshold of two times. Net leverage is corresponding to 1.4 times. For funding the takeover of sensor activities from ams OSRAM, we plan to incur additional debt, so no equity, only debt, as part of our annual corporate financing plans. The transaction will add approximately 0.1 times to our leverage at current cyclically subdued EBITDA levels. I'm pleased to report that Standard & Poor's this morning has confirmed our rating at BBB+ with stable outlook, including the ams OSRAM sensor acquisition, reflecting our strong business profile and our conservative financial policy. Back to the ROCE. Our after-tax reported return on capital employed came in at 5.2% for the first quarter of our 2026 fiscal year. Before giving back to Jochen, who will comment on our outlook, just a quick reminder: our annual shareholders' meeting will be in about two weeks from now, on the 19th of February, here in Munich, for the first time in a physical format again after several years. You can, of course, also follow it online. Yeah, thank you, Sven. Our outlook continues to be framed by our market view of a gradual and uneven recovery. Timing, pace, and slope of the cyclical upturn vary considerably across market segments. Despite persistent geopolitical and macroeconomic uncertainties, visibility is incrementally improving as customers are putting in more and more orders for delivery in 2-3 quarters. This appears to be partly driven by fears of capacity spillover effects from booming AI, potentially resulting in supply tightness for similar products in non-AI areas. Inventory levels have generally normalized throughout Automotive and industrial supply chains. Yet, customer confidence needs to further improve for a restocking. Against this background, we are, at this point in time, reiterating our annual outlook, which had been de-risked to account for the mentioned headwinds. For the sake of clarity, our forecast does not include any effects from the pending acquisition of the sensor portfolio from ams OSRAM. For the currently running March quarter, we predict revenues of around EUR 3.8 billion based on an unchanged assumption of a U.S. dollar/euro exchange rate of 1.15. By segment, revenue at ATV and CSS is expected to remain roughly stable quarter-over-quarter. For GIP, a moderate increase is expected, whereas PSS revenue should grow significantly. For the second fiscal quarter segment result margin, we expect a mid- to high-teens% level. As always in this quarter, volume growth will be offset to some extent by contract-based annual price adjustments kicking in. For the group, these are in line with our initial assumption of a low- to mid-single-digit decline, with considerable variance across the different businesses. For the full 2026 fiscal year, we continue to expect revenues to be moderately up compared to the previous fiscal year based on an assumed U.S. dollar/euro exchange rate of 115. As a reminder, we expect our business segments to follow markedly different patterns. ATV should grow below group average. In contrast, we expect PSS to grow significantly faster, driven by very strong demand for our AI power solutions, for which we reconfirm our revenue assumptions of EUR 1.5 billion for this fiscal year. For GIP, we assume revenues to grow slightly year-over-year, whereas for CSS we expect revenues to remain flat as IoT demand remains sluggish. Regarding profitability, we continue to expect our full-year adjusted gross margin to come at low 40s% and our segment result margin to land at high teens% level. The adverse currency development, together with typical price decline, will work against the positive fall-through effect from volume growth and further benefits from our step-up program. In this context, we announced today the completion of the divestiture of the former Cypress backend in Bangkok. We will pull in around EUR 500 million of investments related to powering AI to support steep revenue growth in the next fiscal year, as already mentioned. This will bring total investments in this fiscal year to around EUR 2.7 billion. As the majority of the additional equipment will arrive late in our fiscal year, there will be no material impact on our depreciation and amortization this year, for which we anticipate a value of around EUR 2 billion. This includes amortization of around EUR 400 million resulting from purchase price allocations, mainly in connection with the acquisition of Cypress and Marvell's Ethernet business, which will be recognized in our non-segment result. For the free cash flow, we now expect a level of around EUR 1 billion for fiscal year 2026, down from previously estimated EUR 1.1 billion, given that a portion of the increased investment will be paid for within the running fiscal year. Our adjusted free cash flow, net of investments into major front-end buildings and M&A transactions, is likewise expected to come in at a lower level and amount to around EUR 1.4 billion after EUR 1.6 billion before, in the context of significant value creation from profitable AI growth. Ladies and gentlemen, let me summarize. The first quarter of our 2026 fiscal year came in at the better end of our guidance, a result of the anticipated seasonality. Geopolitical cross-currents and macroeconomic volatility continue to temper cyclical dynamics. Therefore, our base case of a gradual, uneven market recovery still fits well for the time being. We reiterate and confirm our outlook of moderate revenue growth, low-40s gross, and high-teens segment result margin for our 2026 fiscal year, a prudent base case. Within this guide, low growth is expected for Automotive, muted short-term xEV demand is more than offset by the trend towards software-defined vehicles. We shift our business focus accordingly. There is no AI without power, and we are doubling down on this unprecedented opportunity. We confirm our revenue targets of around EUR 1.5 billion for fiscal 2026 and around EUR 2.5 billion in fiscal 2027. With the acquisition of the Automotive, industrial, and medical sensor portfolio from ams OSRAM, we strategically strengthen our unparalleled portfolio of power analog sensors and control and connectivity solutions in line with our claim for leadership in power systems and IoT. We optimally address, therefore, secular growth drivers and nurture profitable growth. Ladies and gentlemen, this concludes our introductory remarks, and we are now opening the call for your questions. Tried and tested procedure, we kindly ask you to limit yourself to one question and one follow-up. Operator, please start the Q&A session now. Thank you. Our question-and-answer session will be conducted electronically. If you would like to ask a question, simply press the star key followed by the number one on your telephone. If you're joining us today using a speakerphone, please ensure that your mute function is turned off. We'll take our first question from Lee Simpson from Morgan Stanley. Please go ahead. Great. Thanks for squeezing me in here. Jochen, maybe just kicking off on that data center sales guide. As we look at the landscape, there really aren't that many gigawatt-scale capable racks, racks that can be put into gigawatt clusters. There's maybe two today and maybe a third provider likely coming by that 2027 timeframe. So the sense here, looking at Infineon, is that you have some pretty solid and growing market share in support of that EUR 2.5 billion guide. Is that the right way to look at this, or is it more about the broadening incidence of new technologies in particular, things like vertical power delivery? And I think maybe just as a quick follow-up, just looking at that acquisition of ams OSRAM, it would seem you've taken in a pretty good mixed-signal business. Could that be integrated into Kulim or Dresden? I guess what I'm looking here is trying to understand where the production integration gives you future synergies from this business. Thank you. Well done. Okay. So I take the second, and then Andreas will talk about the first question, Lee. So ams OSRAM, indeed, a very attractive portfolio for a very attractive price, right? EUR 230 million in calendar year 2026 expected. The profitability was announced yesterday by the seller to be EUR 60 million, and we are paying EUR 570 million for a sticky mixed-signal portfolio. Indeed, we will, at first place, of course, integrate functionally, so R&D and so on, but we will also start to transfer high-volume products into our facility in Kulim, and this way benefit from material value creations in this context. And that will, of course, take a while, a couple of years, but then this will take the business to a very profitable part in our portfolio. And now handover to Andreas. Yeah, coming back to the question on data centers. So first, regarding data center capacity deployment, we see reality being pretty much in line with what is being also told by analysts. So just to give you an example, the Big Four data center operators, talking about AI data centers in the U.S., have issued plans and are in deployment of these plans to double down in data center capacity in the upcoming 1-2 years. Having said that, we on the one hand side see an increase of data center capacity-driven demand for semiconductors that power these data centers. Second of which, we also see that accompanied by improvement of GPU, GPU capability. It's just a rollout of next-generation GPUs, which are on the one hand side more performant, on the other hand side also more power hungry. This results in higher power requirements and an increase of average power consumption per rack. So having said that, Infineon is benefiting from this trend of more data centers plus higher power on the one hand side. On the other hand side, we're also benefiting from architecture changes in terms of customers moving from lateral power solutions at a fast pace towards what we call vertical power. And that has to do with huge power amounts and currents to be switched next to the processor. That results in vertical power becoming imperative to efficiently power GPUs of future generations. Yeah, and maybe let me add. So we are clearly benefiting here also from a broad customer portfolio, right? We are not only engaged with one or two, but with all hyperscalers and relevant GPU makers across the globe. And for us, of course, the second stage part is giving us particular growth momentum. So we expect the share of the second stage in the overall numbers to increase over the quarters to come. As Andreas pointed out, that vertical power deliveries, the modules have a much higher value. And again, we are here teaming up with all GPU makers or ASICs makers, whatever you want to call them. Thank you very much. The next question comes from the line of Joshua Buchhalter from TD Cowen. Please go ahead. Hey, guys. Thank you for taking my questions. I also wanted to, unsurprisingly, ask about data center power. Could you maybe any metrics you're able to provide on how much you think you're undersupplying this year? And are there any share implications of you guys being able to or not being able to meet the full extent of your demand? And does the number for fiscal 2026 or excuse me, fiscal 2027 that you just gave, does that assume that you're able to meet demand, or are you still constrained with that 2.5 number? Thank you. Yeah. This market is extremely dynamic. First of all, we will try everything to serve our customers' demand to the maximum extent this year. This has to do with internal ramp-up of new capacity, but also very much conversion of IGBT capacity to leading-edge MOSFET capacity for the AI world. So here we have a task force running under the leadership of our COO to really capture the maximum value. The number for next year we came up is EUR 2.5 billion. This is not necessarily the max number, but also please keep in mind that these platforms, which are launched, pose very challenging technical situations, and we need to execute on them. I think over time we will be able to give more transparency on this. But again, the biggest opportunity I've seen for the company in the last 30 years, but also very challenging for the teams to capture technically with very demanding customers. So at this point in time, I would like to leave it with this. Okay. Thank you for the detail there. And then for my follow-up, I wanted to ask about gross margins. So it sounds like you took up utilization rates to build some inventory in the December quarter, and that was reflected in the printed gross margins. You maintain the guide for the year, I believe, of low 40%, which kind of implies flat to down for the rest of the year. Is that a fair read? And sort of how are you thinking about managing utilization rates and inventory levels from here and the read-through to gross margin? Thank you. Yeah. On the underutilization, I will answer, and then Sven will take the effect on the gross margin level. But from a utilization point of view, you can assume that the 300-millimeter factories are or will be soon fully loaded as we are converting IGBT to AI MOSFETs. So that's happening as we speak. Then, of course, we still have some idle in non-AI-related technologies. But also here we are trying or there will be a sort of we expect a certain spillover or call it halo effect from this AI boom, meaning that MOSFETs going into telecommunication or Automotive will, of course, also see this demand. So in other words, this MOSFET market below 100-volt, which is the main area we are talking about, is typically before AI a market of EUR 6 billion, $7 billion. And now this whole AI demand comes on top. Of course, you have to subtract then the module share because the market is defined by die in a package. But still, it's a very significant impact on this EUR 6 billion-EUR 7 billion, depending on the currency market. We expect this to have significant effects. We are trying to serve customers with our leading-edge MOSFETs across all end markets, ranging from AI to Automotive to telecommunications in the best manner. But of course, here also the supply-demand situation will be reflected in our pricing. Yeah. Maybe now some other information on the numbers, Josh. Let us run through. First of all, there is a strong increase on the gross margin from Q4 to Q1, 230 basis points up. There is a negative contribution from lower revenues, which has been overcompensated by the end of the fab fillers in the PSS division by more productivity and by lower idle, as you pointed out. You may recall that in Q4, in order to manage also inventory levels for the year-end, we have reduced loading. So idle went up. Now we are back to a higher utilization rate. Therefore, the idle is coming down. So that explains Q4, Q1. Now you're asking for the trend of the rest of the year. We are guiding for low 40s. I think the 43 is, in my mind, consistent to such a guidance. And now it depends on the perspective on the different quarters. You are aware that in this fiscal quarter there are these price agreements from especially Automotive kicking in. On the other hand, there is continuous improvement on the productivity and step-up side. And if you think about the idle cost development, we are guiding down a bit compared to November in terms of idle, given that we are successful with the conversion of idling IGBT capacities. So the number is now in the ballpark of EUR 700 million for the full year compared to EUR 800 million. I would say for modeling, take half for the first half and half for the second half. And now lastly, on inventories, you also asked for that one because everything needs to be synchronized, as you rightly mentioned. Inventories in days are at 183, given also that Q1 is a seasonally weaker quarter. End-of-the-year target should be, again, 150 days range. So this is how I would look at the equation for the quarters to come. Thank you both for all the color. We now have a question from the line of Janardan Menon from Jefferies. Please go ahead. Hi. Good morning. Thanks for taking the question. I just want to look at your growth profile going forward, given this very strong AI growth that you're seeing. You have guided on your target model for more than 10%. But roughly, the EUR 1 billion of additional revenue in FY27 is itself about 6% of growth for you in that year. So the growth will probably the contribution will probably decrease into subsequent years. But because of the very strong AI demand coming through, are we looking at a mid to longer-term growth profile for Infineon, which is well above what you had previously put into your target model? Any commentary there would be great. My short follow-up is just on the AI power side. You did make a comment that you are seeing demand from all GPU and data center makers globally. Just want to know about China. There is a lot of GPU activity there. A lot of data centers being put up there as well. Do you have a footprint for AI power solutions in that market to domestic players, or is your market very much in the US or the major US players? Thanks. Yeah. Andreas will take the second question, and I answer the first one. So we feel that our target operating model calling for 10% over the cycle and a 25% segment result margin, and please remember that was stated at a dollar-euro exchange rate of 1 to 1, is still valid. And the growth in AI certainly helps. We also have given you numbers for the midterm. We have talked about a SAM of EUR 8-12 billion by the end of the decade. We have given indications on market shares. And I think this is what we can state at this moment in time because for sure we cannot give yet a guidance for 2027 or beyond. And talking about the China data center market, Janardan, let me just add on. Yes. So Infineon is engaged, obviously. Historically, we used to be very active already in the recent past in the hyperscaler business. The typical hyperscalers in China, as a matter of fact, also move fast into building AI data center infrastructure as well. As a function of this, Infineon is moving from its position in hyperscalers towards AI data center at pace with one of the same players, plus also additionally vertically integrated players that play in the league of large language model service providing, and so on and so forth. So also there we are. So in summary, yes, we are engaged in China. Thank you very much. The next question comes from the line of Didier Scemama from Bank of America. Please go ahead. Yes. Thank you. Good morning, gentlemen. I've got a first question on pricing. Just wanting to understand a few things. You've got a few levers to pull, it feels. So first, clearly, with all the GPU customers you have, presumably you've got also the custom ASIC customers, plus inferencing where you also have content. And is that a lever you could pull already in 2026 in your AI business if everybody wants the same chips? And obviously, for them, the ROI would be extremely positive if they could secure supply when the others cannot. And then related to that, I think, Jochen, you mentioned that for 48-volt MOSFET, there is a bit of tension with your customers. So I just wondered because you've alluded also you could situationally stand. Is that something you could potentially contemplate, raising pricing? And in that context, is that already reflected in your negotiation with tier ones? That would be great if you could give a bit of color on all these elements. In fact, if you could also comment on what your assumptions are for pricing for the full year. And I've got a quick follow-up. Thank you. Yeah. Andreas speaking. So let me first react on the pricing question as such before I hand over to Sven to answer its implications in the P&L. So as far as pricing is concerned, Jochen said it before, we see this strong increase in AI-driven demand. Supply constraints are already here while we speak. There is a potential spillover of capacity resulting in supply tightness also for similar such products. Again, Jochen mentioned medium voltage MOSFETs just as one example, also outside AI. Therefore, as a matter of fact, pricing environment for affected product segments turn into more favorable territories. And last but not least, we will adjust prices to reflect current market circumstances going forward. As far as, so to say, that being translated into P&L effects is concerned, I hand it over to Sven. Yeah. Thank you, Andreas. And hi, Didier. So let me be very clear here. It's our rule that we first want to conclude discussions with customers on pricing before we reflect it in the guidance. Therefore, the answer is what Andreas was talking about is not included in this guidance. So this would be an upside. And there would be also a contribution in 2026. But let's be also fair, talking puts and takes. We also need to see how the US dollar and how the commodity prices are developing for the remainder of the year. So there will be puts and takes. Therefore, from today's perspective, we believe it's the right guidance, but the additional pricing is not included. Fantastic. Very clear. Maybe looking at another potential challenge, or at least a challenge, is the memory shortage situation. So what have you contemplated in your guidance for the full year, in particular on the Automotive side? Are you assuming any volume destruction from the 91-92 million global LVP, I think, consensus? Equally, are you seeing any destocking of certain function, whether it's SDV or ADAS, given the potential negative impact it would have on your Automotive customers? Thank you. Yeah. You know, Didier, that we are not much present in, let's say, high DRAM content products like smartphones or laptops. Our share there is limited. In Automotive, there might be an effect, but I still doubt a little bit that it has such a strong effect overall. But also, please keep in mind that we are somewhat, for various reasons, more conservative in our Automotive global sales guidance. So I would think that this covers any effect out of this DRAM or NAND topic as well. Yeah. Makes total sense. Thank you so much, guys. We now have a question from the line of Sandeep Deshpande from J.P. Morgan. Please go ahead. Yeah. Hi. Hi. Thank you for letting me on. My first question is regarding your guidance for the year. You have changed the guidance slightly on GIP, where you were previously saying moderate increase. You're saying slight increase on CSS, where you said slight increase. You're now saying flat. At the same time, for this year, you haven't changed the AI guidance. And so there is no qualitative difference in your guidance on PSS. So how is it that the overall guidance for the year has remained unchanged? Hi, Sandeep. Yeah. You're always very accurate in your observations. So everything you said is true for the divisions. So why did the two changes on GIP and CSS not change the overall guidance? Just look at the relative contribution of both divisions to the group. Two-thirds remain stable. Now, you can also turn the argument around and say implicitly, "We have upgraded the AI guidance because we stick to EUR 1.5 billion despite the fact that the dollar is weaker," which would be a counterargument. So basically, I would consider it to be, give or take, unchanged to November. Just quickly on that, the guidance on FX has remained 1.55. So how does that FX impact the guidance? Because then you should have raised the number on AI for this year. Yeah. So Sandeep, again, that's, of course, always an important element, not only for you but also for us, in determining the right guidance. Let's be very transparent here. First of all, we are living in volatile times for various reasons. We cannot and don't want to adjust the FX rate every time when the dollar moves up or down. We are now at 1.18 spot, yes. By the way, the first quarter was 1.16, where we were guiding for 1.15 and did even better in terms of revenue and profitability. You are aware of our rule of thumb. If we just assume now, for argument's sake, the dollar would stay at the 1.18 for the rest of the year, that would translate into the well-known, give or take, EUR 200 million of revenue headwind and below 50 basis points margin headwinds. Therefore, from today's perspective, we do not see an immediate need to adjust the guidance for currencies. We believe that our operative strength will allow us to compensate for negative currency effects to a certain degree. I would stop here. The rest we need to see, as I have given up on forecasting dollar rates, to be honest. Thank you. Just my follow-up question is on AI again. When you guide to this EUR 2.5 billion, which is a very strong number, is this based on regular orders that you get in the rest of your business, or do you have contracts signed and that there are some kind of agreements with your customers that this is the level of revenue that will occur? Or how is this negotiated between yourselves and your customers that this revenue will come? Because the main customer there has, as you know, said publicly, they're going to get new suppliers into the market by next year. So how are you definite? Because you are putting capacity in place for the customer. So Sandeep, this is Jochen. There are no customer agreements at this moment in time extending into 2027. But we see a strong interest from all players to come up with longer-term agreements, potentially even CRAs, because these customers all feel that this market might get into a supply shortage. And of course, here, Infineon is very well positioned in terms of supply capabilities, given our Dresden facility, which will kick in next year at the perfect moment in time. But again, I would like to say the EUR 2.5 billion is from our side an estimate for next year. It's not necessarily the maximum, but we definitely also need to execute, especially all the technical challenges that are inherent to this sort of business with very risky customers. And again, please do not think about one customer only. We have a broad customer base. We have vertical power deliveries across many of them. So that drives revenue to the largest extent. Thank you. The next question comes from the line of Alexander Duval from Goldman Sachs. Please go ahead. Yes. Thank you so much for the question. Just to go back to the ams OSRAM deal, you referenced the solid profitability. I wondered if you could give us a sense of growth expectations, what's been seen historically there, and how you're thinking about that going forward. And then going back to the Automotive business, obviously, there'd been discussion about China being somewhat weaker on the EV side. I wondered if you could give us some color about how that is balanced by what you're seeing in software-defined vehicles, which I think you highlighted is an area of strength. Many thanks. Yeah. Thank you, Alexander. So we said on ams OSRAM, this portfolio we are buying, I think the seller says EUR 220 million last year. We are saying EUR 230 million this year. Don't take that as a growth trajectory. We are always a bit cautious in this phase over from a seller to a buyer, how much inventory we really find then at the day of closing. I would consider this business clearly as a business in the high single-digit growth area, much like other sensor players are also stating, probably close to 10%. On the second question, EV China, indeed, the EV market overall is in, I would say, even a turmoil. US situation known, European situation known, China, you asked for, we will see less growth in EVs than in the past. We see price erosion. And that's why we have decided to reduce the exposure on silicon-based inverter products and rather focus on silicon carbide and take this IGBT capacity then to fuel our AI business. The overall high voltage or high power business within Automotive is now projected to be around 10% of the Automotive business. So we are defocusing part of that business. But of course, the inverter and silicon carbide-based inverter are clearly a focus for the company. But on the IGBT side, we have decided to go for a more margin-accretive path leading towards AI. Thank you very much. We now have a question from the line of Andrew Gardiner from Citi. Please go ahead. Good morning, gentlemen. Thanks for taking the question. Another one on the AI side, if I could. I'm just trying to sort of step back from what you have said in terms of being supply-constrained this year and that limiting the potential upside. I'm just wondering what you're hearing from the customers as to the relative degree of supply constraint across these products, across the market. I presume everybody is supply-constrained. But I'm just wondering about, let's say, your relative strength compared to the others. Even if you are supply-constrained, are you in a relatively better position than some of the smaller peers, given your scale? And then also a quick clarifying question for you, Sven, on the cash flow guidance. Operating profit, you've kept similar. You've raised CapEx by EUR 500 million, but you've only lowered the free cash flow by EUR 200 million on an adjusted basis and EUR 100 million on a reported basis. What are the other moving parts within that, perhaps around working capital, that is causing the lesser impact at free cash flow? Thank you. Yeah. Andrew, on the customer side, so first of all, I can repeat, all AI customers are basically interested now to engage with us on CRAs. I think we can update on the situation then in May. And they would not do this if they would get ample supply from other sources. Given Infineon's position in the power MOSFET market below 100 volts, I think it's safe to assume that, of course, they watch us. They watch at our capability to supply. They watch at our investments into more capacity. And all of that is currently in discussions with relevant customers, how we can help them to not get into another bottleneck, as they have seen with other parts like memory. So very dynamic situation. And we will update here in May. Yeah. Andrew, thanks for the question. Again, spot on to the free cash flow. Here, two answers to the question. Firstly, the spend, given the lead times of the equipment and the tools we are acquiring, means that some part of the additional investment in 2026 will probably only be paid in the beginning of next fiscal year. So that explains already part of the fact why not EUR 500 million lower free cash flow, which was your question. And secondly, to be very honest, it's an ambitious target to go to the EUR 1 billion reported and EUR 1.4 billion adjusted, given that we want to be as close as possible to the targets we have communicated so far. Yeah. That's not a walk in the park. But we are working on all areas, be it on investments, be it on inventory management, working capital, in order to support that. That's the background behind the free cash flow target. Thank you very much, both of you. The next question comes from the line of Johannes Schaller from Deutsche Bank. Please go ahead. Yeah. Good morning. Thanks for taking my question. I wanted to zoom in a little bit more on the SDV side in Automotive. Jochen, if I heard you correctly, I think you said that the demand in SDV is kind of compensating for the EV slowdown. I think Peter, end of last year, maybe more suggested a kind of gradual ramp over the course of this year with more momentum in the second half. So has anything changed here in terms of what you're seeing for timelines and the demand on the software-defined vehicle side? And then secondly, just on your sensor business now, you obviously regrouped the sensor assets. You now bought the AMS business. How should we think about your positioning in sensors for your end markets and also some future markets like robotics? Do you feel you're relatively well positioned now? And maybe your M&A focus is shifting a little bit, or is there more to do here? Thank you. Okay. So Johannes, on the SDV REMs, you're correct. SDV REMs do not come by surprise. They're long-term planned. And I would not expect here, within a year, to see shifts. But the SDV REMs, notionally, of course, fuel our revenue growth on the micro side, on the Ethernet side, on the power distribution side, all very good business. Whereas on the EV side, I mentioned the shortcomings in that area. On the sensor portfolio, we have taken a good step. You have seen the slides depicting the very nicely complementary portfolio in terms of technologies, being capacitive sensors, be it additional magnetic sensors, which are addressing applications we have not addressed yet within Infineon. Then, of course, the medical part. Sensors is, for me, an interesting area. But honestly, an area where you really seldom find an asset like we have found now with ams OSRAM. Typically, the valuations are very high. If you think about dedicated sensor players, they trade at up to six times revenue. We are buying here a business of 2.5 times of revenue. So a unique opportunity. And that's why we decided to go for it. Again, any future acquisition needs to align with the three dimensions we have always talked about: strategic, functional, financially, and culturally. In this case, all tick marks. Future opportunities, we need to see how the market develops. But by now, 30% of our revenue is in the analog and sensor area. That is even without the ams OSRAM. So I think we are building up here a very nice portfolio and always aligned with our two major claims, being the leader in power systems and IoT. We are not buying assets across an area, but really targeted. And that helps here, in this case, a lot. Great. Thank you, Jochen. We now have a question from the line of Jakob Bluestone from BNP Paribas. Please go ahead. Great. Thanks for taking the question. I had a question on industrial. I guess one of the sort of themes from the earnings season, listening to your peers, is the improvement in industrial. And that's not really what we've been hearing from you. And I appreciate there are differences in terms of product mix and how you allocate revenues as well between the different segments. But just interested in hearing your thoughts on what you're hearing from peers around industrial recovery versus, I guess, a sort of more stable message from you. And then I have a follow-up quickly after. Yeah. Thank you for the question. So indeed, our scope of industrial is slightly different. We have some business in automation, but that's not the big part. The big part is power infrastructure therein. The renewable part, the expectation is that in 2026, global installation of renewables will, in total volume, rather flatten off and therefore will not contribute to a positive growth momentum. Whereas this subsection under power infrastructure, what we call grid infrastructure, that is clearly showing strong growth already as we speak. But of course, it's only a share of the business. But we expect here for years to come demand matching also very nicely our capabilities in terms of high reliability solutions and so on. Whereas PV, for example, there are some areas, like in the IGBT-based EV inverter, where we feel that the margin is less attractive. And we are also converting this IGBT capacity then towards AI in order to improve our margin profile. And on the grid infrastructure side, there are many interesting opportunities: ESS, solid-state transformer, solid-state circuit breakers. But they will play out in the midterm. But very interesting stuff. Thank you. And just a quick question on R&D. Your R&D has been sort of historically pretty steady at about EUR 550 million-ish per quarter. And then this quarter jumped quite sharply. Is that sort of a lumpy one-off? Or is this the new run rate for R&D spend? Look, Jakob, I think we are guiding nearly everything, not only a quarter for full fiscal year. We are now giving even revenue numbers for 2027 for various rates. So please understand that I do not now want to go into components of OpEx and guide them. As I said in the intro, there are very, very important innovation areas. This quarter, it was a lot about connectivity and software-defined vehicle and Ethernet. And if we see that, then we will invest the money. But I don't want to guide now a run rate. But of course, that's clear. R&D needs to work within our target operating model. And that gives you, I think, some boundaries for what we are investing. That was now the financial interpretation. Now comes the CTO telling you that, of course, we are ramping up R&D in the AI space. That's obvious. To create such a revenue performance, we need also additional R&D in the other areas. We are grosso modo rather stable. So not much on the hiring spree. And of course, P&L effects like capitalization and funding also play a role in that regard. Very clear. Thank you very much. The next question comes from the line of François Bouvignier from UBS. Please go ahead. Thank you very much. I have two quick ones. The first one is on the gross margin. Quickly, Sven, if I look at your gross margin, 43% in Q1 is very strong. You guide for low 40s. And if I look at your history, the 10-year history, usually gross margin is up in H2 versus H1. In fact, it only happened twice that the gross margin was flat or lower. It was during post-COVID, margin or revenues under pressure. Otherwise, you consistently have higher gross margin. Based on what you said on the utilization rate or the underloading charges being flat through the year, H2 versus H1, I'm struggling not to believe that the gross margin will go up in H2. I just wanted to have your perspective on that. My follow-up question is on the free cash flow. Obviously, you have this CapEx increasing. You have this acquisition again. All you see in terms of top-line recovery of the cycle plus the AI boom, when are we going to see more free cash flow coming through? Is 2027 a possible scenario after all this investment you are making right now ahead of it? Just to understand a bit, maybe, the free cash flow dynamic to unlock what you see on the top line and margins. Yeah. Thank you, François. On the gross margin, I do not disagree with your statement to the historic patterns. They are, as you describe, and in normal years where you have the seasonally weakest quarter in terms of revenue in Q1, then usually you have the prices kicking in in Q2. Then you have a stronger second half. Then this is, I think, a normal consequence. I would not say that this year should be very different. But we also mentioned that there are some other things at play, like the dollar, like the commodities, like the price increases Andreas was talking about. And now it really depends on when they will kick in. And then we can jointly look again at the gross margin development. For the free cash flow, yes, it is this year, as I said already before, it's tight, given that it's a year where many things come together. The non-AI business is not growing at the pace we wish it to be, given that the uncertainties remain. We call it the gradual and uneven recovery. Number two, we are investing into Dresden Module 4 and wide-bandgap Kulim at the same time. And now we pull in AI investments. If you take all that together, and we are still at the lower end of our CapEx free cash flow range, I think that shows the resilience and the attention we are paying now, asking for 2027. Of course, if you paint a picture, just taking consensus numbers, that growth will be stronger next year. Then there is, of course, a possibility that we will not stay at 150 days inventory levels for a long time. And of course, that would be very positive also for the free cash flow. I would probably stop there. Yeah. And besides the inventory for next year, of course, then it will depend on our outlook for the following fiscal year. That is then already, what is it, 2028 fiscal year on AI. So if this boom continues, we will definitely want to participate in that boom, as it is highly accretive revenue. So too early to really predict. But I would say inventories related to, especially, Automotive recovery, as well as further AI investments beyond the EUR 2.5 billion, will determine the free cash flow for the next fiscal year. Thank you very much. Thanks, everyone. Ladies and gentlemen, after generous overtime, it's now the final whistle on our Q1 earnings call. Any further questions, please feel free to contact the investor relations team. Take care. Have a good day.