Slide 1: UBS Technology Conference 2011
/ Slide 1 UBS Technology Conference 2011 Franki D'Hoore - Director European Investor Relations London, March 10, 2011
Slide 2: Safe Harbor
/ Slide 2 Safe Harbor "Safe Harbor" Statement under the US Private Securities Litigation Reform Act of 1995: the matters discussed in this document may include forward-looking statements, including statements made about our outlook, realization of backlog, IC unit demand, financial results, average
Slide 3: Agenda
/ Slide 3 Agenda Business summary Market ASML business update Outlook and summary
Slide 4: Business summary
/ Slide 4 Business summary
Slide 5: Q4 results - highlights
/ Slide 5 Q4 results - highlights Net sales of € 1,521 million, 69 systems shipped valued at € 1,313 million, service revenue at € 208 million Gross margin of 45.0% Operating margin of 32.4% Shipped 28 immersion systems Net bookings are valued at € 2,315 million with 117 systems (see slide 12) Backl
Slide 6: Total net sales by quarter 2005-2010
/ Slide 6 2005 2006 2007 2008 2009 2010 Q1 685 629 949 919 183 742 Q2 763 942 930 844 277 1069 Q3 533 958 934 697 555 1176 Q4 548 1053 955 494 581 1521 Total net sales M€ 2,529 3,582 3,768 Numbers have been rounded for readers' convenience. 2,954 1,596 4,508
Slide 7: Key financial trends 2009 - 2010
/ Slide 7 Key financial trends 2009 - 2010 Consolidated statements of operations M€ Numbers have been rounded for readers' convenience. Numbers have been adjusted for consolidation of variable interest entity. Net bookings value numbers have been adjusted, see slide 12.
Slide 8: Backlog: value and litho units
/ Slide 8 Backlog: value and litho units Backlog Jan 05 Apr 05 Jul 05 Oct 05 Jan 06 Apr 06 Jul 06 Oct 06 Jan 07 Apr 07 Jul 07 Oct 07 Jan 08 Apr 08 Jul 08 Oct 08 Jan 09 4/9/2009 Jul 09 Oct 09 Jan 10 Apr 10 Jul 10 10/10/2010 1/1/2011 Backlog value 1691 1377 987 1245 1434 1596 1830 2126 2146 2163 1745
Slide 9: Backlog in value per December 31, 2010
/ Slide 9 Korea Taiwan USA Japan Singapore Europe China 11 23 28 4 13 11 10 DRAM IDM Foundry NAND 27 21 33 0 19 0 immersion KrF 1-line ArF dry 71 22 1 6 Backlog in value per December 31, 2010 Total value M€ 3,856 Technology ArF immersion 71% KrF 22% I-Line 1% Region (ship to location) USA 28% Taiwan
Slide 10: Bookings activity by sector
/ Slide 10 DRAM idm foundry NAND 11 11 50 28 Bookings activity by sector - total value M€ 2,315 DRAM idm foundry NAND 16 6 48 30 Bookings in value Bookings in units IDM 6% Foundry 48% DRAM 16% IDM 11% Foundry 50% DRAM 11% NAND 28% NAND 30% Booked 104 new tools at € 2,250 million, 13 used at € 65 mil
Slide 11: Market
/ Slide 11 Market
Slide 12: All sectors are ramping their new nodes
/ Slide 12 All sectors are ramping their new nodes Wafer starts per node Wafer starts per node Wafer starts per node DRAM NAND Logic MPU ASML estimates
Slide 13: New fab litho opportunity
/ Slide 13 New fab litho opportunity 13 fabs projects representing € 7.0 billion of litho (2011-2012) Publicly announced projects Publicly announced projects
Slide 14: DRAM spot prices improving
Slide 14 Source: DRAMeXchange (7/2/2011), ASML MCC DRAM spot prices improving for both 2Gb and 1Gb DDR3 products 300 mm cash-costs for 5x nm 1 Gb DRAM between 0.8 & 0.9 USD 300 mm cash-costs for 7x nm 1 Gb DRAM between 1.4 & 1.6 USD 300 mm cash-costs for 6x nm 1 Gb DRAM between 1.1 & 1.25 USD 300 mm
Slide 15: Efficiency gap between tier-1 and tier-2 foundries
Slide 15 | Source: ASML Marketing (2/11) Efficiency gap between tier-1 and tier-2 foundries Market entry of two new leading-edge contenders, i.e. Samsung and Global Foundries
Slide 16: ASML business update
/ Slide 16 ASML business update
Slide 17: Technology - TWINSCAN NXT
/ Slide 17 Technology - TWINSCAN NXT Productivity at specified 175 wafers per hour, 3 nm overlay FlexRay, programmable illuminator, shipping in high volume System production capacity increasing by cycle time improvement and cabin conversions Q4 NXT shipments surpassed Q4 XT immersion for the first t
Slide 18: Technology - EUV
/ Slide 18 Technology - EUV Two NXE:3100 systems has been shipped, the first one is exposing wafers already at a customers manufacturing site Four additional NXE:3100 systems are planned to ship in next several months Orders received for 9 NXE:3300 production systems to be delivered in 2012 EUV is n
Slide 19: EUV lowers overall costs for customer
Slide 19 EUV lowers overall costs for customer, while including increased litho costs € 70.82 * € 46.44 * * Source: ASML Strategic Marketing Patterning steps per device layer Cost per layer [Euro/Wafer] Cost per layer [Euro/Wafer] Costs per layer: ArFi : Overall patterning costs (including litho, et
Slide 20: Source power progress 10x per year
Source power progress 10x per year Source power [W] 60 W/hr still provides challenge 1000 250W ~105W125wph 60wph15mJ/cm2 100 ~10W 10mJ/cm2 5wph 10mJ/cm2 10~1W 0.5wph 10mJ/cm2 10.1 Q1/2009 Q1/2010 Q1/2011 end/2011 end/2012 Aggregate roadmaps of source suppliers Timeline / Slide 20
Slide 21: Cash return
Cash return Announcing a share buy back program of up to €1 billion executed within a 2 year timeframe Proposed dividend for 2010 of €0.40 per ordinary share (approx. €175 million) vs. €0.20 per share in 2009 / Slide 21
Slide 22: Outlook and summary
Outlook and summary / Slide 22
Slide 23: Q1 2011 outlook
Q1 2011 outlook Net sales expected around €1.4 billion Gross margin expected between 44% and 45% R&D is expected at €145 million SG&A is expected at €55 million Current backlog plus expected Q1 bookings confirm a potential for more than €5 billion of net sales in 2011 / Slide 23
Slide 24: Back up
/ Slide 24 Back up