Slide 1: Fourth Quarter Fiscal 2023 Earnings Supplemental Slides
Fourth Quarter Fiscal 2023 Earnings SUPPLEMENTAL SLIDES AUGUST 3, 2023
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements that are subject to the safe harbors created under the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. Forward-looking statements give our current expectations and projections relatin
Slide 3: High-Performance IoT Semiconductor Solutions Leader
High-Performance IoT Semiconductor Solutions Leader Analog Mixed Signal IoT Product Best-in-Class Revenue Semiconductors Applications Margin Profile Broad Product FY23 IoT – 70% of FY23 Non-GAAP Gross FY23 Revenue – down Portfolio total revenues Margin – 60.1% 22% YoY ___________________________ Not
Slide 4: Technology Leadership Across The Product Portfolio
Technology Leadership Across The Product Portfolio Wireless Connectivity Automotive Video Interface Virtual Reality Headsets PC Touchpad / Audio Processors Mobile Video Processors Biometric Fingerprint © 2023 Synaptics Incorporated 4
Slide 5: FY23 Financial Performance
FY23 Financial Performance • 3-year IoT revenue CAGR of 42% • Best-in-class GAAP and non-GAAP gross margin • Solid non-GAAP diluted earnings per share IoT Revenue ($M) Gross Margin EPS $1,101 60.0% 60.1% $13.54 3-yr CAGR – 42% $946 ~16 points in 3 years 53.6% 54.2% 52.8% $8.26 $8.12 $613 43.7% 45.6%
Slide 6: Consolidated Gross Margin
Gross Margins Are Highly Correlated to IoT Mix 90% 70% IoT Revenue Mix IoT Revenue as % of Total Revenue 80% 65% Non-GAAP Gross Margin Consolidated Gross Margin 70% GAAP Gross Margin 60% 60% 55% 50% 50% 40% 45% 30% Calculated R2 correlation coefficient: Non-GAAP:IoT Mix = 0.95 R2 40% 20% GAAP:IoT Mi
Slide 7: Q4'FY23 Financial Highlights
Q4’FY23 Financial Highlights • Revenue of $227.3 million, down 52% YoY • IoT accounted for 58% of total revenue and was impacted by excess inventories • Mix is driving GAAP and non-GAAP gross margin $52 – GAAP gross margin of 44.5% – Non-GAAP gross margin of 55.7% Q4’FY23 $227M • GAAP diluted loss p
Slide 8: Q4'FY23 Business Highlights
Q4’FY23 Business Highlights • Expanded license agreement with Broadcom to include Wi-Fi 7, Bluetooth 6.0, Bluetooth Enterprise; Extended the exclusivity in IoT markets by 3 years • Renewed interest for application-specific processors from operator customers • Shipping high-end Touch controllers for
Slide 9: Quarterly Revenue Trend
Quarterly Revenue Trend Total Revenue ($M) IoT Revenue Mix 76% $476 71% $470 70% $448 68% $421 64% $373 62% $353 $327 58% 55% $227 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Note: As-reported, not proforma for any acquisition/divestiture activity
Slide 10: Quarterly Gross Margin Trend
Quarterly Gross Margin Trend Non-GAAP Gross Margin GAAP Gross Margin 62.6% 57.1% 55.9% 61.1% 61.0% 60.3% 54.0% 59.8% 59.5% 53.2% 53.5% 52.9% 52.8% 58.0% 55.7% 44.5% Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Note: As-reported, not proforma for any
Slide 11: Quarterly Earnings Per Share Trend
Quarterly Earnings Per Share Trend Non-GAAP Earnings Per Share GAAP Earnings Per Share $3.87 $2.04 $3.75 $3.52 $1.71 $3.26 $1.59 $1.59 $2.68 $0.99 $2.20 $1.89 $0.55 $0.26 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 $0.49 $(0.59) Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Note: As-reported,
Slide 12: Q4'FY23 Financial Results
Q4’FY23 Financial Results $M (except EPS) Q4’22 Q3’23 Q4’23 QoQ YoY Revenue $476.4 $326.6 $227.3 (30%) (52%) GAAP Gross Margin % 55.9% 52.8% 44.5% -830 bps -1140 bps GAAP Operating Expenses $142.0 $138.1 $139.2 1% (2%) GAAP EPS Diluted $2.04 $0.26 ($0.59) (327%) (129%) Non-GAAP Gross Margin % 61.0%
Slide 13: Q4'FY23 Balance Sheet
Q4’FY23 Balance Sheet In Millions Q4’22 Q3’23 Q4’23 Cash & ST Investments $876.0 $933.9 $934.3 AR $322.1 $218.2 $163.9 Inventory $169.7 $147.8 $137.2 PP&E $62.9 $69.0 $66.4 Other $1,427.4 $1,345.8 $1,309.6 Total Assets $2,858.1 $2,714.7 $2,611.4 Current Liabilities (excluding debt) $457.4 $262.9 $25
Slide 14: Q1'FY24 Guidance
Q1’FY24 Guidance $M (except EPS) GAAP Non-GAAP Revenue $215M - $245 NA Gross Margin* 43.5% - 47.5% 52.0% - 55.0% Operating Expenses** $139 - $147 $97 - $100 EPS Diluted ($0.55) - ($0.95) $0.15 - $0.55 Revenue mix IoT 58% NA PC 22% NA Mobile 20% NA * Projected Non-GAAP gross margin excludes $17.0 mil
Slide 15: Appendix
Appendix
Slide 16: GAAP to Non-GAAP Reconciliation Tables
GAAP to Non-GAAP Reconciliation Tables Q4'23 Q3'23 Q2'23 Q1'23 Q4'22 Q3'22 Q2'22 Q1'22 Q4'21 Q3'21 Q2'21 Q1'21 Q4'20 Q3'20 Q2'20 Q1'20 Q4'19 Q3'19 Q2'19 Q1'19 Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual G
Slide 17: Reconciliation Tables - continued
GAAP to Non-GAAP Reconciliation Tables - continued © 2023 Synaptics Incorporated 17
Slide 18: Reconciliation Tables - continued
GAAP to Non-GAAP Reconciliation Tables - continued FY23 FY22 FY21 FY20 Actual Actual Actual Actual GAAP gross margin $ 715.9 $ 943.1 $ 611.2 $ 543.1 Acquisition related costs 95.0 97.0 103.4 39.7 Loss/(recovery) on supply commitment - - (0.6) (3.0) Retention costs - - - 0.5 Share-based compensation
Slide 19: Reconciliation Tables - continued
GAAP to Non-GAAP Reconciliation Tables - continued © 2023 Synaptics Incorporated 19
Slide 20: Engineering Exceptional Experiences
Engineering Exceptional Experiences © 2023 Synaptics Incorporated 20