Coherent Corp. · NYSE:COHR
Coherent — II-VI — Investor Presentation (June 2016)
13 slides from Coherent's investor presentation, Jun 9, 2016
Slide 1: Our Technologies for Tomorrow's Innovations
www.ii-vi.com NASDAQ: IIVI Investor Presentation June 2016 Our Technologies for Tomorrow’s Innovations A global leader powered by engineered material solutions that fully satisfy our customers Exhibit 99.1
Slide 2: Safe Harbor Statement
www.ii-vi.com I NASDAQ: IIVI Matters discussed in this presentation may contain forward-looking statements that are subject to risks and uncertainties. These risks and uncertainties could cause the forward-looking statements and II-VI Incorporated’s (the Company’s) actual results to differ materiall
Slide 3: Our Core – Material Excellence
Ne Ne Our Core – Material Excellence Ne Sc 21
Slide 4: Global Leader in Engineered Materials
Global Leader in Engineered Materials Headquartered in Saxonburg, PA ~ 9,300 Employees in 14 Countries Growth-oriented: organic and acquisitions 4 CONSECUTIVE DECADES OF PROFITABILITY AND COUNTING Fiscal Year Revenues $M 63% 37% 31% 37% 32% 36% 35% 13% 6% 7% 3% 15% CAGR 2005 $187 $224 $255 $310 $280
Slide 5: Laser Solutions Segment
Rev. TAM Share Laser Solutions Segment Focused on making industrial and large volume production smarter and faster Leading merchant supplier of CO2, Fiber, and Direct Diode industrial laser components Leading aftermarket supplier for CO2 1m sales now 20% company-wide Laser Optics Complex Cutting Hea
Slide 6: Laser Solutions Segment products
Laser Solutions Segment Vertical Cavity Surface Emitting Lasers (VCSEL) CO2 Laser Optics Laser Cutting & Welding Heads Laser Diode Bars Green Laser Diode Modules Pumps and Laser Modules
Slide 7: In the Last Four Months…
In the Last Four Months… II-VI acquired Epiworks, Inc. (Champaign IL) and ANADIGICS, Inc. (Warren, NJ) for $127M with earn out Acquired 6” scalable semiconductor fab laser capacity and ability to advance an optoelectronics platform Completed sale of certain Anadigics RF assets - $50M cash (incl $5M
Slide 8: Photonics Segment
Photonics Segment Worldwide supplier into 100G, Undersea, and Broadband deployments Leading Supplier of crystals, fiber optics, precision optics, and optical assemblies for multiple applications Leverage vertical integration synergies to enable a cost structure for market penetration and growth Erbi
Slide 9: Photonics Segment products
Photonics Segment Single & Dual Chip Cooled & Uncooled 980nm Pumps 40G & 100G Quad Small Form-factor Pluggable (QSFP) Transceivers High Performance Optical Coatings and Filters Subsystems and Linecards Amplifiers Micro EDFA Arrayed Raman and Hybrid Raman EDFA Passive Optical Elements
Slide 10: Investments in Synergistic Technologies for Strategic and Growing Markets
Investments in Synergistic Technologies for Strategic and Growing Markets where materials expertise matters Free Standing Diamond Precision Optical Systems High Value Material Reclamation Reaction Bonded SiC Tools Thermal Management Target military platforms and applications with growth potential Id
Slide 11: Performance Products Segment
Performance Products Segment Sapphire Material and Optics Market CAGR (‘14-’19): 10% Source: Internal Power Generation Products Market CAGR (‘14-’19): 30% Source: Internal
Slide 12: Profitability and Expectations
Gross Margin EBITDA Operating Margin FY15 FY16 35% - 38% 36% - 40% 15% - 18% 17% - 21% 7% - 10% 9% - 12% Expectations Margin Performance Profitability and Expectations II-VI growth expectations across the cycle are: Organic Revenue: 2-3x GDP EPS: ~2x revenue growth
Slide 13: Company Position
Company Position Positive Profit Outlook Leading Market Positions In Diverse End Markets Investing In Fast Growing Markets Strong Cash Position Global Manufacturing Footprint Growth Via Organic And Acquisitions Ongoing $50M Stock Buyback Program