Renormalization is primarily a means of reparameterizing a system of differential equations.
In the context you place it (infinities) it is a means for choosing the parameterization such that a singular limit can be taken that gives physically relevant results.
In particular, renormalization is therefore used to give sense to quantum systems defined in terms of singular operators (in quantum mechanics) or fields (in quantum field theory). This is nontrivial since singular objects cannot be handled in the standard way without producing meaningless results. For an explanation how it works in simple cases where one can fully understand the meaning of the infinitis and how to avoid them see
my renormalization tutorial.