Photronics, Inc. · NASDAQ:PLAB
Photronics — Q4 2020 Earnings Presentation
15 slides from Photronics's earnings presentation, Dec 9, 2020
Slide 1: Q4 2020 Financial Results Conference Call
Q4 2020 Financial Results Conference CallDecember 9, 2020 Photronics, Inc.
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation and some of our comments may contain projections or other forward-looking statements regarding future events, our future financial performance and/or the future performance of the industry. These statements are predictions, and contain risks and uncertainties.
Slide 3: Please Join Us: 2020 Investor and Analyst Day
Please Join Us Photronics’ 2020 Investor and Analyst Day (Virtual)December 14, 202010:00 AM ETDetails available on “Investors” section of our website: www.photronics.com 12/8/2020 3
Slide 4: 2020 Summary
2020 Summary Revenue was $609.7M; up 11%3rd consecutive year of record revenueFPD revenue was record $191.3M, up 32%Revenue of product shipped to China was a record, improving 40%Operating income improved 23%Generated $143M in cash from operating activities, invested $71M in capex, and returned $34M
Slide 5: Q4 2020 Summary
Q4 2020 Summary Revenue was $149.3M, down 5% Q/Q and 4% Y/YDemand lower across IC and FPD Revenue to China was flat Q/Q, down 2% Y/Y; IC achieved record China revenue; FPD was down on Huawei-related disruptionsNet income attributable to Photronics, Inc. shareholders of $6.5M ($0.10/share)Cash balanc
Slide 6: Income Statement Summary
Income Statement Summary $M (except EPS) Q420 Q320 Q/Q Q419 Y/Y Revenue $ 149.3 $ 157.9 (5%) $ 156.3 (4%) Gross Profit $ 31.9 $ 37.7 (16%) $ 38.2 (16%) Gross Margin 21.4% 23.9% (250 bps) 24.4% (300 bps) Operating Income $ 15.0 $ 19.9 (25%) $ 21.5 (30%) Operating Margin 10.0% 12.6% (260 bps) 13.7% (3
Slide 7: IC Photomask Revenue
$M Q420 Q320 Q/Q Q419 Y/Y High-End* $ 38.2 $ 38.7 (1%) $ 45.0 (15%) Mainstream $ 67.8 $ 70.0 (3%) $ 67.6 - Total $ 105.9 $ 108.7 (3%) $ 112.5 (6%) IC Photomask Revenue 12/8/2020 7 Improvement at some logic foundries in US and Asia; memory demand softRecord China revenue in Q420Up 14% Q/Q and 6% Y/YR
Slide 8: FPD Photomask Revenue
FPD Photomask Revenue 12/8/2020 8 High-end down Q/Q on lower AMOLED (Huawei) and G10.5+Strong LCD market causes panel makers to run current product, limiting new design activityChina revenue Down 12% Q/Q and 10% Y/YRepresents 56% of Q420 FPD revenueOutlookDynamic market environmentRecovery underway
Slide 9: Select Financial Data
Select Financial Data $M Q420 Q320 Q419 Cash $ 279 $ 261 $ 207 Debt $ 69 $ 53 $ 53 Net Cash* $ 210 $ 208 $ 154 Operating Cash Flow $ 65 $ 17 $ 45 Capital Expenditures $ 34 $ 7 $ 18 Government Incentives for Capital Equipment - - $ 9 Share repurchase $ 18 - $ 11 Debt is mostly local China borrowing t
Slide 10: Q121 Guidance
Q121 Guidance Revenue ($M) $145 - $155 Operating Margin 8% - 12% Taxes ($M) $4 - $5 EPS $0.07 - $0.14 Diluted Shares (M) ~64.5 Positive industry demand trends due to remote work and learning offset by typical seasonalityOutlook clouded by geopolitical uncertaintyCoronavirus reactionUS/China trade po
Slide 11: For Additional Information
For Additional Information:R. Troy Dewar, CFAVice President, Investor Relations203.740.5610tdewar@photronics.com Thank you for your interest!
Slide 12: Appendix
PHOTRONICS Appendix J = gq = < i} <4 & iS} = =
Slide 13: Total Revenue
Total Revenue 12/8/2020 13 IC FPD Total may differ due to rounding
Slide 14: IC Photomask Revenue
IC Photomask Revenue 12/8/2020 14 Mainstream High-End High-End: 28nm and smaller; total may differ due to rounding
Slide 15: FPD Photomask Revenue
FPD Photomask Revenue 12/8/2020 15 Mainstream High-End High-End: ≥G10.5, AMOLED and LTPS; total may differ due to rounding