Slide 1: AIXTRON Investor Presentation
AIXTRON Investor Presentation Image courtesy of Fraunhofer IISB/Kurt Fuchs IR Presentation – First Nine Months 2020 © AIXTRON Investor Relations, October 2020
Slide 2: Forward-Looking Statements
DISCLAIMER 2 Forward-Looking Statements This document may contain forward-looking statements regarding the business, results of operations, financial condition and earnings outlook of AIXTRON. These statements may be identified by words such as “may”, “will”, “expect”, “anticipate”, “contemplate”, “
Slide 3: Our Vision: Technology. Materials. Performance.
ABOUT AIXTRON 3 Our Vision Technology. Materials. Performance. Technology. Materials. Performance. We are the recognized We enable our We deliver the technology leader customers to performance driving in complex material successfully shape the economic success deposition. markets of the future, thro
Slide 4: Who we are
ABOUT AIXTRON 4 Who we are Headquarters based near Aachen, Germany Company founded in 1983, >35 years of experience Worldwide presence in 7 countries Technology leader in deposition systems R&D and production facilities in Germany and UK Over 3,500 deposition systems sold worldwide ~ 7
Slide 5: Where we are
ABOUT AIXTRON Where we are -—* Santa Clara USA @ AIXTRON Group @ Representation Cambridge UK 4 ° oe Te ——= e South Korea Herzogenrath e | Germany Pe AIXTRON SE —" Tokyo Headquarters ee Shanghai Japan china x © usinchu Talwan
Slide 6: What We Do
ABOUT AIXTRON 6 What We Do part of lab/tool photographs©Fraunhofer IISB/Kurt Fuchs We provide enabling Deposition Technologies to the Compound Semiconductor and Display Industry For Optoelectronics and Power Electronics For Organic Electronics Applications • Metal-Organic Chemical Vapor Deposition (
Slide 7: Our MOCVD Market Position
ABOUT AIXTRON 7 Our MOCVD Market Position 2017 2018 2019 3% 2% 5% 24% 20% 25% US$ 401m 43% US$ 553m 46% US$ 524m 56% 34% 14% 27% AIXTRON AIXTRON AIXTRON Veeco Veeco Veeco AMEC AMEC AMEC Others Others Others Source: Gartner (2017; 2018), Company reports, AIXTRON estimates
Slide 8: Technology Portfolio for Complex Material Deposition
AIXTRON TECHNOLOGIES AND PRODUCTS 8 Technology Portfolio for Complex Material Deposition OLED: OVPD®/PVPD® Carbon – PECVD NANO: Innovation Pool LEDs / Optoelectronics Lasers (VCSEL/EEL) GaN Power | GaN/GaAs RF Power Management (e.g. 3D Sensing, Consumer (e.g. Wireless Charging, Fast Electronics, Opt
Slide 9: Revenue Analysis
OPERATIONS 9 Revenue Analysis* * Rounded figures; may not add up 9M/2020: 9M/2020: 9M/2020: by equipment & after sales by end application by region (equipment only) 11% 10% 20% 36% 13% 29% 77% 80% 24% LED Asia Equipment Power Electronics After Sales Europe Optoelectronics* Americas Others * Optoelec
Slide 10: 24-Month Business Development (Q4/2018 – Q3/2020)
FINANCIALS 10 24 - Month Business Development (Q4/2018 – Q3/2020) (€ million) Order Intake 81.4 (incl. Equipment & 72.2 68.8 69.6 70.8 After Sales) 53.6 52.2 44.7 @ $1.20 Order Backlog (equipment only) 138.3 146.3 156.6 164.1 125.7 116.7 110.1 108.4 @ $1.20 Revenues 87.9 75.1 (incl. Equipment & 68.7
Slide 11: Consolidated Income Statement
FINANCIALS 11 Consolidated Income Statement* * Rounded figures; may not add up +/- +/- (€ million) 9M/20 9M/19 Q3/20 Q2/20 % % Revenues 161.1 184.6 -13 64.1 56.0 14 Cost of Sales 97.9 109.8 -11 38.4 33.2 16 Gross profit 63.3 74.7 -15 25.8 22.9 13 % 39 40 -1 pp 40 41 -1 pp Selling expenses 7.3 7.1 3
Slide 12: Balance Sheet
Financials 12 Balance Sheet* * Rounded figures; may not add up (€ million) 30/09/20 31/12/19 30/09/19 Property, plant & equipment 66.9 64.5 64.8 Goodwill 71.2 72.4 72.2 Other intangible assets 2.7 2.4 2.2 Non-current financial assets 30.0 0 0 Others 11.8 11.7 12.5 Non-current assets 182.7 151.0 151.
Slide 13: Consolidated Statement of Cash Flows
FINANCIALS 13 Consolidated Statement of Cash Flows* * Rounded figures; may not add up (€ million) 9M/20 9M/19 Q3/20 Q2/20 Net Result 9.6 20.2 7.1 3.3 Adjust for Non-Cash Items 6.1 9.3 3.2 3.0 Changes in Working Capital** (10.8) (22.7) (2.2) (14.2) Cash Flow from Operating Activities** 4.9 6.8 8.1 (7
Slide 14: AIXTRON – 2020 Guidance: Firmed Up
Outlook 14 AIXTRON – 2020 Guidance*: Firmed Up 2020 Guidance* ranges narrowed, 2020 Guidance* taking 9M Results and the current environment into account: Equipment Order Backlog • Total Order Intake now between (EUR 164m) convertible EUR 270 ~ 300 million into 2020 Revenues: EUR 88m-108m (from EUR 2
Slide 15: Market Prospects
FUTURE MARKETS 15 Market Prospects Short-Term • Increasing adoption of compound semiconductor-based lasers for 3D sensor systems in mobile devices as well as sensors for infrastructure applications. • Further increasing demand for lasers for ultra-fast optical data transmission of large volumes, suc
Slide 16: Epitaxial Growth Equipment Market Forecast
MARKETS 16 Epitaxial Growth Equipment Market Forecast* * Excluding MBE Micro LED equipment demand as strongest driver from 2021 (Aggressive Model) Power equipment demand to accelerate from 2021 ($ million) 7,000 Base Aggressive 6,000 CAGR: ~35% 5,000 3,323 4,000 3,000 1,588 CAGR: ~21% 2,000 450
Slide 17: AIXTRON – Enabling Emerging Global Mega Trends
AIXTRON TECHNOLOGIES AND PRODUCTS 17 AIXTRON – Enabling Emerging Global Mega Trends GaAs GaN Optical 3D Sensing Mobile Power Supplies for Automotive Communication Lasers communication Consumer Electronics MOCVD Platform Technology GaAs SiC Electric Solar Vehicles Fine Pitch & Infrared LED MiniLED Di
Slide 18: AIXTRON MOCVD – Planetary Reactor: Tool-of-Record
AIXTRON TECHNOLOGIES AND PRODUCTS 18 AIXTRON MOCVD – Planetary Reactor®: Tool-of-Record Individual Wafer Rotation = Best Material Uniformity Individual wafer temperature adjustment = Wafer Level Control/Optimization Highest Epi / Product Yield = Lowest Production Cost
Slide 19: Devices: GaN/SiC Power Electronics – Superior Performance
AIXTRON TECHNOLOGIES AND PRODUCTS 19 Devices: GaN/SiC Power Electronics – Superior Performance Source: icons from www.flaticon.com Energy Saving Electric Vehicles EV-charging More Efficient Less Heat Light Weight Renewable Energy Data Centers Lower Smaller System Cost Wireless Charging Fast Charging
Slide 20: Overview: GaN/SiC as Wide Band Gap Power Electronics
AIXTRON TECHNOLOGIES AND PRODUCTS 20 Overview: GaN/SiC as Wide Band Gap (WBG) Power Electronics Consumer Electronics & IT Automotive Energy Industrial Power Management Power Switching 30V 600V 1.2 kV ≥2kV • Electronic appliances • Infotainment • General automotive • Power Grid / Smart meter • UPS •
Slide 21: SiC in Automotive: Main Inverter as the Major Market Opportunity
AIXTRON TECHNOLOGIES AND PRODUCTS 21 SiC in Automotive : Main Inverter as the Major Market Opportunity Quick charging pole Higher efficiency = 1 kV DC (30 – 300 kW) Battery size Battery 3 reduction 2 OBC DC-DC 1 Main inverter 240 V Cost savings AC Range extension Component Power (kW) Fraction
Slide 22: Devices: ROY LEDs for RGB Displays; UV LEDs for Niche Markets
AIXTRON TECHNOLOGIES AND PRODUCTS 22 Devices: ROY LEDs for RGB* Displays; UV LEDs for Niche Markets Source: LEDinside, Yole Développement Initial RGB* LED Introduction DISPLAYS Expected ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● Stadium Fine Pitch MiniLED for MicroLED fo
Slide 23: Devices: Micro LED – The Perfect Future Display Technology
AIXTRON TECHNOLOGIES AND PRODUCTS 23 Devices: Micro LED – The Perfect Future Display Technology Source: LEDinside RGB* ● ● ● Self-Emissive Micro LED ● ● ● ● ● ● Display 1 Wearables ≈ Low Power 100 Consumption Perfect AR/VR Contrast ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● High Signage ●
Slide 24: Devices: VCSEL/EEL – Internet of Things Creates New Opportunities
AIXTRON TECHNOLOGIES AND PRODUCTS 24 Devices: VCSEL/EEL – Internet of Things Creates New Opportunities Source: icons from www.flaticon.com 3D Sensing Functionality Facial Recognition Autonomous Driving Lasers: VCSEL/EEL Processor Tailor-made clothing/shoes Interior Design Sensor/Receiver …… Mapping
Slide 25: AIXTRON – Instrumental in Evolving Display Technologies
AIXTRON TECHNOLOGIES AND PRODUCTS 25 AIXTRON – Instrumental in Evolving Display Technologies Specialty LED OLED Display Plasma LED Backlit Display Micro LED Display LCD CRT // 1950’s → 2000’s → 2006 → 2010 → Under Development →
Slide 26: APEVA: OLED Deposition System Provider
AIXTRON TECHNOLOGIES AND PRODUCTS 26 APEVA: OLED Deposition System Provider OVPD Deposition OVPD Deposition Line* Automation & Handling • Fully Automated OLED Deposition Lines and Fab Integration as a Complete System Provider • Innovative Deposition Technology with • Higher Efficiency of OLED Materi
Slide 27: Organic Electronics – OVPD – APEVA
AIXTRON TECHNOLOGIES AND PRODUCTS 27 Organic Electronics – OVPD® – APEVA Source: DisplaySearch, AIXTRON OLED manufacturing process Cleaning Cleaning Glass cutting ITO deposition Organic material deposition Bonding Coating Etching Cathode deposition Aging Stripping Encapsulation Final test (Thin film
Slide 28: Carbon Nanomaterials – PECVD
AIXTRON TECHNOLOGIES AND PRODUCTS 28 NANO: Innovation Pool Carbon Nanomaterials – PECVD Graphene and Carbon Nanotube Deposition Systems • Proprietary thermal and plasma enhanced chemical vapor deposition technology • Excellent uniformity and reproducibility with fast turnaround cycle times • BM plat
Slide 29: AIXTRON Investor Presentation
AIXTRON INVESTOR PRESENTATION 29
Slide 30: Demand Drivers on Order Intake per Quarter (Equipment Only)
OPERATIONS 30 Demand Drivers on Order Intake per Quarter (Equipment Only) strategic 250 (EUR million) China investments Lasers, ROY 200 LED TV LEDs and Power Overcapacity Electronics telecom/datacom notebook Absorption, 3D Sensing Lasers and mobile phone backlighting Industry 150 (VCSELs) Consolidat
Slide 31: Annual Total Revenues by Application (including After Sales)
FINANCIALS 31 Annual Total Revenues by Application (including After Sales) 800 (EUR million) 700 600 500 400 300 200 100 0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 LED Power Electronics Optoelectronics* Others Spares, Services, etc. Sil
Slide 32: AIXTRON Competitive Landscape
INDUSTRY 32 AIXTRON Competitive Landscape USA Europe China Korea Japan GaAs/InP Opto Optoelectronics, ROY LED GaN LED TOPEC Power GaN Power SiC Power OLED
Slide 33: Consolidated Income Statement
FINANCIALS 33 Consolidated Income Statement* * Rounded figures; may not add up (€ million) 2019 2018 2017 Revenues 259.6 268.8 230.4 Cost of sales 150.9 151.2 156.4 Gross profit 108.7 117.6 74.0 % 42% 44% 32% Selling expenses 9.9 9.4 10.2 General & admin expenses 16.5 18.4 17.1 R&D 55.0 52.2 68.8 Ne
Slide 34: Balance Sheet
FINANCIALS 34 Balance Sheet* * Rounded figures; may not add up (€ million) 31/12/19 31/12/18 31/12/17 Property, plant & equipment 64.5 63.1 64.3 Goodwill 72.4 71.6 71.2 Other intangible assets 2.4 2.1 1.8 Others 11.7 13.3 4.0 Non-current assets 151.0 150.1 141.3 Inventories 79.0 73.5 43.0 Trade rece
Slide 35: Consolidated Statement of Cash Flows
FINANCIALS 35 Consolidated Statement of Cash Flows* * Rounded figures; may not add up (€ million) 2019 2018 2017 Cash Flow from operating activities 42.8 13.0 70.1 Cash Flow from investing activities -6.8 -16.1 40.7 Cash Flow from financing activities -1.2 10.4 1.2 Exchange rate changes -0.1 2.4 -5.
Slide 36: Financial Calendar & Contact Data
36 Financial Calendar & Contact Data • February 25, 2021 FY/2020 Results, Conference Call • April 29, 2021 Q1/2021 Results, Conference Call • May 19, 2021 Virtual Annual General Meeting • July 29, 2021 1H/2021 Results, Conference Call • November 04, 2021 9M/2021 Results, Conference Call • February 2
Slide 37: Technology. Materials. Performance.
Technology. Materials. Performance. AIXTRON SE Dornkaulstr. 2 52134 Herzogenrath Germany Phone +49 (2407) 9030-0 Fax +49 (2407) 9030-40 E-Mail invest@aixtron.com