Slide 1: H1 2022 Financial Results
H1 2022 Financial Results July 28, 2022 Kevin Crofton, CEO Lisa Pataki, CFO Comet AG Herrengasse 10 CH-3175 Flamatt T +41 31 744 90 00 www.comet.tech
Slide 2: Cautionary statement regarding Forward Looking Statements
Cautionary statement regarding Forward Looking Statements This document contains forward-looking statements about the Comet Group that may be subject to uncertainty and risk. Readers should therefore be aware that such statements may deviate from actual future outcomes or events. Forward- looking st
Slide 3: Agenda
Agenda 01 Business & Industry Review 02 Financial Results 03 Outlook 04 Q&A H1 2022 Financial Results 7/28/2022 3
Slide 4: Agenda
Agenda 01 Business & Industry Review 02 Financial Results 03 Outlook 04 Q&A H1 2022 Financial Results 7/28/2022 4
Slide 5: Comet on plan in the first six months
Business & Industry Review Comet on plan in the first six months High single-digit sales growth YoY Different growth dynamics in the divisions Ongoing semiconductor industry boom Prevailing growth driver in all divisions 267.5 14.1% Net sales in CHF millions EBITDA margin (+7.7% vs. H1 2021) (H1 202
Slide 6: Different growth patterns by market: continued momentum in semiconductor industry
Business & Industry Review Different growth patterns by market: continued momentum in semiconductor industry Semiconductors Automotive Aerospace Security Semi wafer fabrication equipment Automotive industry in resupply Aerospace industry continued on Increased mobility and higher (WFE) growth contin
Slide 7: Divisions continue to execute, addressing macro challenges
Business & Industry Review Divisions continue to execute, addressing macro challenges PCT IXS IXM • RF generator platform Synertia®: • China zero-COVID policy prevented • Growth momentum in all segments launched at Semicon West installations for 6 weeks • Supply chain issues shift revenue into H2 •
Slide 8: Summary
Business & Industry Review Summary • Moving ahead as planned in a challenging ecosystem • Acceleration in sales and margins from Q1 to Q2 • Record sales as semi cycle extends, other industries mixed • One-offs and inflation impacted margins in H1 • Some shift of revenue from H1 to H2 due to industry
Slide 9: Agenda
Agenda 01 Business & Industry Review 02 Financial Results 03 Outlook 04 Q&A H1 2022 Financial Results 7/28/2022 9
Slide 10: Financial highlights
Financial Results Financial highlights • Solid sales growth despite headwinds • Unexpected China lock-down shifts sales into H2 • Double-digit growth in backlog; H1 book-to-bill of 1.23 • Timing effects of price, cost pass-through negotiations, pressured gross margins • Pursuit of U.S. trade sec
Slide 11: Robust sales growth, but temporary margin weakness
Financial Results Robust sales growth, but temporary margin weakness in CHF millions, otherwise indicated H1 2022 H1 2021 Y-O-Y (2) Net sales 267.5 248.3 +7.7% Gross profit margin 41.4% 42.8% −140 bps EBITDA (1) 37.7 44.3 −14.8% EBITDA margin (1) 14.1% 17.8% −370 bps Net income 23.1 27.8 −16.8% Retu
Slide 12: Supply chain challenges, trial expense, COVID lockdowns weigh on margins in the short-term
Financial Results Supply chain challenges, trial expense, COVID lockdowns weigh on margins in the short-term Net sales [in CHF millions] EBITDA margin PCT 25.0% (1) IXS IXM 23.9% 19.8% 6.4% 15.8% 15.0% -2.6% 145.4 173.5 70.2 60.0 37.3 41.0 H1 2021 H1 2022 H1 2021 H1 2022 H1 2021 H1 2022 Net sales +1
Slide 13: Strong balance sheet ensures resilience and flexibility
Financial Results Strong balance sheet ensures resilience and flexibility in CHF millions, otherwise indicated H1 2022 H1 2021 Y-O-Y (2) CapEx 6.9 6.2 +10.7% CapEx as % of sales 2.6% 2.5% +10 bps Jun 2022 Dec 2021 Change (2) Cash and cash equivalents 87.8 115.5 −24.0% Free cash flow 3.0 15.3 −80.4%
Slide 14: Agenda
Agenda 01 Business & Industry Review 02 Financial Results 03 Outlook 04 Q&A H1 2022 Financial Results 7/28/2022 14
Slide 15: Served markets maintain growth path with supply being the limiting factor
Outlook Served markets maintain growth path with supply being the limiting factor Semiconductors Automotive Aerospace Security 2023 OEM outlook positive EV transition continues unabated Pandemic-related recovery Increasing security requirements for border and transport FY22: WFE spend projected to F
Slide 16: Unchanged priorities: consistent implementation of strategy remains key
Outlook Unchanged priorities: consistent implementation of strategy remains key • keep pace with fast-growing customer demand • release new Synertia® RF Generator variants to beta-testing PCT • expand market share in RF matchbox, maintain vaccaps share • continue to ramp-up Penang plant with volume
Slide 17: Outlook: accelerated growth in H2, guidance narrowed
Outlook Outlook: accelerated growth in H2, guidance narrowed Current forecasts/scenario planning supports guidance • full-year guidance narrowed, record second half-year expected Guidance FY2022 • H1 book-to-bill ratio of 1.23 signals strength in our end markets • realize sales shifted to the second
Slide 18: Q&A
Q&A
Slide 19: Appendix
Appendix cemet group
Slide 20: Definition of financial key figures
Appendix Definition of financial key figures (pages 11 and 13) Book-to-bill ratio: ratio of orders received to the amount billed for a specific period Capex: Purchases of property, plant and equipment and intangible assets shown under investing activities in the consolidated cash flow statement EBIT
Slide 21: Consolidated statement of income
Appendix Consolidated statement of income in CHF millions (rounding differences may occur) H1 2022 H1 2021 Change Net sales 267.5 248.3 7.7% Gross profit 110.7 106.2 4.2% • Other operating income 2.4 1.8 34.9% • Development expenses -31.2 -28.6 8.9% • Marketing and selling expenses -26.7 -24.0 11.5%
Slide 22: Consolidated statement of cash flows
Appendix Consolidated statement of cash flows in CHF millions (rounding differences may occur) H1 2022 H1 2021 Change Net cash provided by operating activities 9.2 21.8 -57.8% in % of net sales 3.4% 8.8% -530 bps Net cash (used in) investing activities -6.2 -6.5 -5.1% Free cash flow 3.0 15.3 -80.4%
Slide 23: Consolidated balance sheet
Appendix Consolidated balance sheet in CHF millions (rounding differences may occur) H1 2022 in % YE 2021 in % Current assets 316.4 59.6% 304.4 62.1% Non-current assets 214.5 40.4% 186.0 37.9% Total assets 530.9 100.0% 490.4 100.0% Current liabilities 144.9 27.3% 126.0 25.7% Non-current liabilities
Slide 24: Net sales walk H1 2021 to H1 2022
Appendix Net sales walk H1 2021 to H1 2022 in CHF millions +7.7% Volume effect Positive in local currencies currency effect CHF 15.1m (6.1%) CHF 4.1m (1.7%) H1 2022 Financial Results 7/28/2022 24
Slide 25: EBITDA margin walk H1 2021 to H1 2022
Appendix EBITDA margin walk H1 2021 to H1 2022 – 40 bps – 370 bps H1 2022 Financial Results 7/28/2022 25
Slide 26: cemet
cemet group