Cirrus Logic, Inc. · NASDAQ:CRUS
Cirrus Logic — Barclays Investor Presentation (May 2013)
22 slides from Cirrus Logic's conference presentation, May 23, 2013
Slide 1: Barclays Investor Presentation May 23, 2013
Barclays Investor Presentation May 23, 2013 CIRRUS LOGIC
Slide 2: Safe Harbor Statement
2 Safe Harbor Statement Except for historical information contained herein, the matters set forth in this presentation contain forward-looking statements, including industry market projections; forecasted revenue, gross margin, and R&D and SG&A expenses; and long-term outlook for gross margin and op
Slide 3: Cirrus At a Glance
3 Cirrus At a Glance Profile Founded 1984 Listed on NASDAQ: CRUS Headquartered in Austin, TX Fabless Products Audio: Portable, Home Entertainment, Automotive Energy: LED Lighting, Power Meters, Industrial, Measurement Core Competencies Analog & Digital Signal Processing Engineering Execution Supply
Slide 4: Compelling Business Strategy
4 Compelling Business Strategy Leverage Best in Class IP Leader in Analog & Mixed Signal Technology Target Fast Growing Markets Expand with More Content, More Boxes Engage Tier-One Market Leaders Develop Meaningful Engineering Relationships
Slide 5: Focus on Tier One Customers
5 Focus on Tier One Customers Over 2,500 customers worldwide Largest customer represented 85% of revenue in Q4 FY13 Majority of products sold direct to customers, <10% via distribution
Slide 6: Best Places to Work: Unique Corporate Culture
6 “Best Places to Work” 2011 & 2012 Unique Corporate Culture Community Support Work Hard, Play Hard
Slide 7: Audio
Audio 7
Slide 8: Portable Audio: Global Smartphone Market
8 Global smartphone market maturing: Ultra high volume Very competitive market Additional features driving TAM expansion Voice enhancing features Audio amps Multi microphone beamforming Portable audio opportunity continuing to grow long term Portable Audio Source: iSuppli and Company estimates Globa
Slide 9: Portable: Audio & Voice Experience Driving Innovation
9 Portable: Audio & Voice Experience Driving Innovation Ultra Low Power DSP Enabling new and innovative features Boosted Speaker Amplifiers Delivering louder sound with micro speakers without reducing the quality Adaptive Noise Canceling Better voice quality – you can hear them better in a loud envi
Slide 10: Other Audio: Established Base Business
10 Other Audio: Established Base Business Home Entertainment Automotive Strong Customer Base (Sony, Harman, Bose, Ford, LG) Comprehensive Product Portfolio (ADC, DAC, CODEC, DSP, Interface, Amps) High Dollar Content (Up to $13 per box) Professional
Slide 11: Cirrus Logic Advantage in Audio
11 Cirrus Logic Advantage in Audio Strong IP Portfolio Tier-One Customers Fast Growing Markets Engineering Execution
Slide 12: Energy
Energy 12
Slide 13: LED Lighting: An Emerging Market
13 LED Lighting: An Emerging Market 50% CAGR Retrofit LED Lighting TAM Source: Datapoint Research 2013 LED retrofit lamps Where We Are Today: Targeting retrofit LED lighting market Shipping in two tier-one OEMs in US & EuropeAdoption accelerating in CY2013, expanding into additional SKUs and custome
Slide 14: LED is the Future of Lighting
14 LED is the Future of Lighting Cirrus Logic Advantage Tested on over 200 dimmers: 98% compatible Better dimmer compatibility: less flicker, good dimming range Enables warm, natural light quality across the dimming curve similar to an incandescent bulb Programmable platform Extensive IP portfolio S
Slide 15: Financials
Financials 15
Slide 16: Q4 FY13 Key Balance Sheet Items
16 Q4 FY13 Key Balance Sheet Items $237M, up $89M from the prior quarter Cash flow from operations $130M No debt $200M repurchase announced Nov 20 th Repurchased ~1.5M shares of common stock in Q4 at an average price of $26.09 ~$114M remaining $81.6M deferred tax asset remaining Q4 ending inventory
Slide 17: June Guidance (Q1) and Financial Outlook
June Guidance(Q1)* Revenue: $150-$170M Gross Margin: 50-52% R&D and SG&A: $51-$55M (incl. $6M in stock comp) *Forecast as of May 23, 2013 **Midpoint of guidance as of May 23, 2013 ***GAAP to non-GAAP reconciliations available on slide 20 and at www.cirrus.com Financial Outlook Revenue 17 EPS GAAP No
Slide 18: Business Model
*Estimates as of May 23, 2013 Business Model Long term goal: 20% operating profit 15% average year over year revenue growth Increased pricing pressures in the smartphone market Gross margins expected to be in the mid-40’s Revenue for fiscal year likely impacted by expected decline in ASPs 18
Slide 19: Strong Financial Performance
$- $100 $200 $300 $400 $500 $600 $700 $800 $900 FY2009 FY2010 FY2011 FY2012 FY2013 2% 11% 23% 19% 25% 8% 13% 24% 22% 28% 0% 5% 10% 15% 20% 25% 30% FY2009 FY2010 FY2011 FY2012 FY2013 GAAP Non-GAAP* Strong Financial Performance 19 *GAAP to non-GAAP reconciliations available on slide 21 and at www.cirr
Slide 20: GAAP to Non-GAAP Reconciliation
20 GAAP to Non-GAAP Reconciliation
Slide 21: GAAP to Non-GAAP Reconciliation
21 GAAP to Non-GAAP Reconciliation
Slide 22: Cirrus Logic
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