Slide 1: Siltronic AG FY 2020 Conference Call Presentation
Siltronic AG FY 2020 Conference Call Presentation March 9, 2021 © Siltronic AG
Slide 2: 2020 a challenging year
2020 a challenging year Q4 2020 comments Full year 2020 comments Sales in Q4 down q-o-q due to normal Corona accelerated digitization in many areas seasonality and strong Euro (home office, home schooling etc.) ASP stable Sales volume up due to higher demand driven by megatrends such as digi
Slide 3: Highlights 2020: Financial figures FY 2020
Highlights 2020: Financial figures FY 2020 Sales − EUR 1,207.0m (2019: EUR 1,270.4m) EBITDA − EUR 332.0m (2019: EUR 408.7m) − EBITDA margin: 27.5% (2019: 32.2%) EBIT − EUR 192.2m (2019: EUR 298.3m) − EBIT margin: 15.9% (2019: 23.5%) CapEx − EUR 187.6m (2019: EUR 363.0m) Net cash flow − EUR 77.4m (20
Slide 4: Financials 2020
Financials 2020 © Siltronic AG
Slide 5: Revenues down q-o-q due to seasonality and some FX headwind
Revenues down q-o-q due to seasonality and some FX headwind Sales, in EUR m Comments Positive Wafer area sold up y-o-y 323.1 304.3 Stabilizing price trend in H2 300.1 299.2 284.5 Negative ASP in EUR down y-o-y Prices down in H1 H2 down due to negative product mix and strong Euro Q4 b
Slide 6: Lower wafer area sold and productivity gains lead to lower COGS q-o-q
Lower wafer area sold and productivity gains lead to lower COGS q-o-q Cost of sales, in EUR m Gross profit, in EUR m / Gross margin, in % 31.8 29.8 30.7 210.8 224.0 221.0 211.7 26.1 25.6 207.4 96.9 89.3 99.1 78.2 72.8 Q4 2019 Q1 2020 Q2 Q3 Q4 Q4 2019 Q1 2020 Q2 Q3 Q4 Selling, R&D and admin expenses,
Slide 7: High US-Dollar and Japanese Yen exposure
High US-Dollar and Japanese Yen exposure FX exposure, in % FX sensitivity ~ 10% Sales EBITDA unhedged ~ 25% 1 USD-cent change ~ EUR 6 million ~ EUR 4.5 million ~ 65% ~ 65% 1 JPY change ~ EUR 2.5 million ~ EUR 2 million Sales Costs USD SGD JPY EUR Other currency effects (mostly hedging), Comment in E
Slide 8: EBITDA burdened by strong Euro and costs relating to tender offer in Q4
EBITDA burdened by strong Euro and costs relating to tender offer in Q4 EBITDA, in EUR m / EBITDA margin, in % Depreciation, in EUR m 29.6 31.1 28.1 26.8 23.6 90.0 84.2 100.4 80.1 67.2 -33.3 -30.9 -33.5 -36.5 -38.8 Q4 2019 Q1 2020 Q2 Q3 Q4 Q4 2019 Q1 2020 Q2 Q3 Q4 EBIT, in EUR m / EBIT margin, in %
Slide 9: Net profit of EUR 187 million in 2020
Net profit of EUR 187 million in 2020 Net profit, in EUR m EPS, in EUR 60.8 1.80 45.4 46.0 39.1 40.9 1.21 1.32 1.08 1.17 Q4 2019 Q1 2020 Q2 Q3 Q4 Q4 2019 Q1 2020 Q2 Q3 Q4 Dividend payment, in EUR m Comments Net profit of EUR 187 million in 2020; thereof EUR 160.8m attributable to Siltronic shareho
Slide 10: Tax rate significantly down
Tax rate significantly down Effects on tax expense in 2020 Comments Tax expense w/o special The negative tax rate in Q4 due to one- Tax rate: 8% effects time effects on current and deferred taxes Tax rate in 2020 only 1% Tax effects in USA USA Significant tax benefits to reduce burden of Cor
Slide 11: Working capital down; high trade liabilities related to capex and advisory fees
Working capital down High trade liabilities related to capex and advisory fees Working capital, in EUR m, Inventories and contract assets, in EUR m Working capital ratio to quarterly sales, in % 80 Inventories Contract assets 73 71 60 58 55 60 40 167.4 169.1 175.1 169.3 175.1 188.6 218.1 200.8 168.3
Slide 12: Strong equity ratio and solid net financial assets
Strong equity ratio and solid net financial assets Equity, in EUR m Provisions for pensions, Net financial assets, Equity ratio, in % in EUR m in EUR m 52.8 47.8 45.4 45.4 43.7 Interest rates IFRS USA 2.98% 2.88% 2.46% 2.41% 2.07% Germany 1.24% 1.92% 1.23% 0,95% 0.69% 1031 930 867 833 872 606 567 58
Slide 13: Pension reserves impacted by low IFRS interest rates
Pension reserves impacted by low IFRS interest rates DBO and pension reserves, in EUR m Comment 1,278 ~850 711 DBO of EUR 1,278 million – assets of EUR 711 million = EUR 567 million USA mostly funded 142 2.07% 147 3% Pension reserves @3% = DBO of EUR 108 ~850 million – assets EURO 711 million Ge
Slide 14: Capex 2020 significantly down vs. 2019
Capex 2020 significantly down vs. 2019 Investment, in EUR m Comment Capex 2020 significantly down to EUR 188m Epi expansion in H2 to accommodate demand and market growth Investment in capabilities to enable leading-edge design rules 363 257 188 123 54 Siltronic AG – FY 2020 Conference Call Pre
Slide 15: Net cash flow in line with expectation
Net cash flow in line with expectation Operating cash flow (OCF), in EUR m Customer prepayments net (PP), in EUR m 100.7 85.6 58.6 60.9 31.4 3.6 3.5 -21.6 -16.9 -10.5 Q4 2019 Q1 2020 Q2 Q3 Q4 Q4 2019 Q1 2020 Q2 Q3 Q4 CF Capex, in EUR m Net cash flow (NCF), in EUR m 40.9 26.7 28.6 8.9 -18.9 -48.8 -42
Slide 16: Outlook 2021
Outlook 2021 © Siltronic AG
Slide 17: 2021 off to a good start
2021 off to a good start 2021 challenges and opportunities Good start in 2021 Overall high demand and good to very good loading Foundry, logic and image sensors expected to remain strong Inventory levels of memory chips still on a somewhat elevated level Memory business expected to show po
Slide 18: Positive development of wafer volume in Q1 2021
Positive development of wafer volume in Q1 2021 − Strong foundry and logic business 300 mm − Ongoing uncertainty due to US-China trade tensions and Corona pandemic might lead to elevated inventories across the supply chain − Partial digestion of server components − Recovery in automotive and industr
Slide 19: Estimated market growth of silicon area
Estimated market growth of silicon area Silicon area share of Estimated development of Devices, silicon area share and their “content minus end markets (2020) end markets in 2021 density” effect Phones 25% DRAM 18% High uncertainty due PCs 20% NAND 23% to phone mix Servers 10% Logic 34% Industrials
Slide 20: Siltronic Outlook 2021 (as of March 1, 2021)
Siltronic Outlook 2021 (as of March 1, 2021) Sales − mid to high single-digit percent increase EBITDA margin − slight increase Depreciation − around EUR 155m to EUR 160m EBIT − significant increase Tax rate − significantly below 10% CapEx − around EUR 250 million (mainly in 300 mm epi, capabilities
Slide 21: Contact and Additional Information
Contact and Additional Information Issuer and Contact Additional Information Siltronic AG ISIN: DE000WAF3001 Einsteinstraße 172 WKN: WAF300 D-81677 München Deutsche Börse: WAF Listing: Frankfurt Stock Exchange Investor Relations: Prime Standard Petra Mueller email: investor.relations@siltronic.com T
Slide 22: Disclaimer
Disclaimer The information contained in this presentation is for background purposes only and is subject to amendment, revision and updating. Certain statements contained in this presentation may be statements of future expectations, future financial performance and other forward-looking statements
Slide 23: SILTRONIC AG
SILTRONIC AG | Einsteinstrasse 81677 Munich 172 Germany © Siltronic AG