Siltronic Ag · XETR:WAF

Siltronic — Investor Day (November 2023)

21 slides from Siltronic's investor day presentation, Nov 30, 2023

  1. Slide 1: Our Path to Growth and Value Creation

    OUR PATH TO GROWTH AND VALUE CREATION Dr. Michael Heckmeier CEO November 30, 2023 © Siltronic AG

  2. Slide 2: By 2028, our sales ambition is above EUR 2.2 bn and EBITDA margin in the high 30's

    BY 2028, OUR SALES AMBITION IS TO BE ABOVE Assumptions EUR 2.2 BN AND EBITDA MARGIN IN THE HIGH 30'S Sales in EUR bn and EBITDA margin in % 4–5% CAGR on total wafer area based on 2022 volume EUR 2.2+ bn 6% CAGR for 300 mm High 30‘s % EUR ~1.6 bn ASP stable 30%+ FX stable EUR/USD 1.10 Ø 2021–2023 202

  3. Slide 3: We are well positioned to harvest significant growth potential

    We are well positioned 01 Only western-based wafer manufacturer to harvest significant with a 14% share(1) in a market transforming the global economy growth potential 02 Global megatrends fueling wafer demand 03 Capacity expansion and higher-value product mix to cover demand and increase profitabil

  4. Slide 4: Expansion of electronics value chain will drive semiconductor and wafer growth

    01 02 03 04 EXPANSION OF ELECTRONICS VALUE CHAIN WILL DRIVE SEMICONDUCTOR AND WAFER GROWTH Substantial increase of demand for electronic devices and new applications (figures for 2022)(1) 99% of the semiconductor value chain is based on silicon Electronics USD 1,855 bn Semiconductors USD 1 tn semi s

  5. Slide 5: Well positioned in a consolidated market as the only western-based manufacturer

    01 02 03 04 WELL POSITIONED IN A CONSOLIDATED MARKET AS THE ONLY WESTERN-BASED MANUFACTURER Up to 90% are served by the top 5 wafer manufacturers Global Sumco Wafers Top 5 Only western based wafer Wafer 14% market share manufacturer producers SK Siltron Shin Etsu Consolidated market leads to high tr

  6. Slide 6: Global production footprint with growing share of 300 mm wafers

    01 02 03 04 GLOBAL PRODUCTION FOOTPRINT WITH GROWING SHARE OF 300 mm WAFERS Singapore Singapore 300 mm volume production in SSW CP* 300 SSP 200 Germany & Singapore mm mm Germany Burghausen, Freiberg R&D 300 <150 hub in Burghausen CP* mm mm USA Portland/Oregon Leading Edge 200 mm production R&D = Res

  7. Slide 7: Well-diversified and resilient product mix in all three segments

    01 02 03 04 SILTRONIC HAS A WELL-DIVERSIFIED AND RESILIENT PRODUCT MIX IN ALL THREE SEGMENTS Demand by segments in % of total demand in 2023E Roughly 1/3 as a rule of thumb is the split between the three segments Memory 34% Leading Logic 37% Edge supplier Power/Others 29% Power leading position Mark

  8. Slide 8: We are well positioned to harvest significant growth potential

    We are well positioned 01 Only western-based wafer manufacturer to harvest significant with a 14% share(1) in a market transforming the global economy growth potential 02 Global megatrends fueling wafer demand 03 Capacity expansion and higher-value product mix to cover demand and increase profitabil

  9. Slide 9: Megatrends will drive wafer demand

    01 02 03 04 MEGATRENDS WILL DRIVE WAFER DEMAND Siltronic well positioned to Autonomous support each vehicles & Smartphone megatrend Electromobility All segments will participate and Security Renewables Power with over proportional growth Artificial Key benefits Industry 4.0 from strategic focus on I

  10. Slide 10: Autonomous driving is pushing silicon content

    01 02 03 04 AUTONOMOUS DRIVING IS PUSHING SILICON CONTENT ADAS semiconductor content in USD ADAS semiconductor content in USD based on light vehicle forecast ADAS will drive wafer demand Logic will improve the most, with a higher value creation for Siltronic Level 1 Level 2 Level 3 Level 4/5 Level 1

  11. Slide 11: Electromobility is driving silicon content and Siltronic's growth story

    01 02 03 04 ELECTROMOBILITY IS DRIVING SILICON CONTENT AND SILTRONIC’S GROWTH STORY xEV sales FC in mn units >70,000 m² Siltronic wafers in xEV‘s in 2028 38 Wafer area Electrical car Leading +60 to in Power and Siltronic will benefit 2.8x +100% above average 14 Light vehicle ~40% of light vehicles 2

  12. Slide 12: Artificial intelligence is just at the beginning

    01 02 03 04 ARTIFICIAL INTELLIGENCE IS JUST AT THE BEGINNING Silicon content between standard server vs. AI server in cm² per server AI servers need Leading Edge wafers Technology leading in our industry Up to and therefore high 8x AI servers to grow with a benefit CAGR of >30% 2022–2027 Leading edg

  13. Slide 13: We are well positioned to harvest significant growth potential

    We are well positioned 01 Only western-based wafer manufacturer to harvest significant with a 14% share(1) in a market transforming the global economy growth potential 02 Global megatrends fueling wafer demand 03 Capacity expansion and higher-value product mix to cover demand and increase profitabil

  14. Slide 14: CAGR of 4–5% expected over all diameters with highest growth in 300 mm

    01 02 03 04 CAGR OF 4–5% EXPECTED OVER ALL DIAMETERS WITH HIGHEST GROWTH IN 300 mm Development of total wafer demand per diameter in mn 300 mm equivalents per month 6% CAGR for 300 mm wafers also 9,0 reflects Siltronic’s 8,0 +6% focus on leading diameter 7,0 6,0 5,0 Attractive 4,0 and slightly incre

  15. Slide 15: Investment focus FabNext: first wafer out in November

    01 02 03 04 INVESTMENT FOCUS FABNEXT: FIRST WAFER OUT IN NOVEMBER Project Status Commercial Facts Advantages: On track, on budget High automation, high epi share, economies of scale, state of the art Focus on qualifying customers High LTA share Ramp speed for 2024–2025 synched with market, afterward

  16. Slide 16: Freiberg investments will further improve product mix

    01 02 03 04 FREIBERG INVESTMENTS WILL FURTHER IMPROVE PRODUCT MIX Every 3rd to 2nd semiconductor in the EU is from this region Leipzig Dresden Investments of more than EUR 1 bn Chemnitz since 1995 by Siltronic #1 customers in Logic, Memory and Power served from Freiberg Source: Siltronic; Silicon Sa

  17. Slide 17: We are well positioned to harvest significant growth potential

    We are well positioned 01 Only western-based wafer manufacturer to harvest significant with a 14% share(1) in a market transforming the global economy growth potential 02 Global megatrends fueling wafer demand 03 Capacity expansion and higher-value product mix to cover demand and increase profitabil

  18. Slide 18: Strong focus on growth drivers R&D and innovation

    01 02 03 04 STRONG FOCUS ON GROWTH DRIVERS R&D AND INNOVATION R&D Partnering with leading innovation platforms and joint development R&D Innovation Strategy hub in Germany projects with customers Stay one generation ahead 450 as a technology leader R&D employees Focus on Leading Edge and Power + = 1

  19. Slide 19: The market technology roadmap to always stay ahead of the curve

    01 02 03 04 THE MARKET TECHNOLOGY ROADMAP TO ALWAYS STAY AHEAD OF THE CURVE Leading Edge Logic 5 nm 3 nm 2 nm 14 A 10 A with higher profitability and prices Memory 1A 1B 1C 0A 0B 0C Stay ahead DRAM of the curve is crucial to capture the full sales potential of a new node Memory 176L 2xxL 3xxL 5xxL >

  20. Slide 20: Key takeaways of today

    KEY TAKEAWAYS OF TODAY – CLEAR COMMITMENT TO PROFITABLE GROWTH AND SUSTAINABILITY Our 2028 ambition: Megatrends AI, digitalization, Sales EUR 2,200+ mn and electromobility will drive EBITDA margin “High 30’s” wafer demand to new levels Our investment focus in FabNext Clear commitment to R&D and and

  21. Slide 21: Dr. Michael Heckmeier, CEO

    DR. MICHAEL HECKMEIER CEO Siltronic Munich Siltronic AG Einsteinstraße 172 D-81677 Munich www.siltronic.com 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 stat

Siltronic — Investor Day (November 2023) on 6ix