Slide 1: Veeco Instruments Investor Presentation
Veeco Instruments Investor Presentation August 2025
Slide 2: Safe Harbor
RR Safe Harbor Veeco This presentation contains “forward-looking statements”, within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, as amended, that are based on management's expectations, estimates, projections and assumptions. Words such as
Slide 3: Contents
Contents Overview Veeco at a Glance Who is Veeco? Role in the Semi Manufacturing Strategy & SAM Opportunities Available Market SAM Opportunities Why Own Veeco? Financials Revenue by End-Market Historical Financials Customers, Resource Alignment, Veeco Team & ESG Backup & Financial Tables . Veeco
Slide 4: Veeco at a Glance
RR VeeC® ata glance $717M 2024 Revenue Global provider of semiconductor | equipment ~1200, Employees . Differentiated . . Solving customers : ps Financial strength Ri : technologies with age high value materials ee and flexibility opportunities to challenges ~350 expand SAM Patents
Slide 5: Who is Veeco?
Who isc\Veeco ? Strong History Semiconductor Solving materials challenges 2019- Today Differentiated Laser Annealing & lon Beam Growth Focus Deposition technologies enabling most advanced chips on the planet Semiconductor & Compound Semiconductor Well Positioned Leading edge customers drive growth
Slide 6: Veeco Role in the Semi Manufacturing
VeeECD Role in the Semi Manufacturing Representative Process Steps FRONT END BACK END Inspection/ \ Advanced Metrology Packaging Deposition })Lithography : Annealing Veeco Technologies are Critical for Several Semi Manufacturing Process Steps @ Driving business today IBD: lon Beam Deposition LSA: La
Slide 7: Strategy & SAM Opportunities
Strategy & SAM Opportunities Veeco
Slide 8: Available Market
Available Market Total Veeco SAM Veeco’s Served Available Market projected to grow to ~$4.4B Semiconductor opportunity projected to grow to ~$2_7B driven by Laser Annealing. lon Beam Deposition, and Advanced Packaging equipment Compound Semiconductor opportunity projected to grow to ~$1.2B driven by
Slide 9: Semi SAM Expansion To Drive Outperformance
Semi SAM Expansion To Drive Outperformance Industry Enabling Technologies Inflections GAA/JBSPD Advanced Logic Device Shrink - EUV/High NA Lithography 7 oa NSA | Oem fico oe ae <5" rd La HBM/3D Devices 5% ‘ 0% = = 2025-2029 CAGR Advanced Wet i 3D Packaging For Al Pi i =WFE Growth «Veeco Semi SAM Pac
Slide 10: Semiconductor SAM Projected Growth
Semiconductor SAM Projected Growth Key Growth Drivers 2025 2029 Laser Spike * PTOR at 3 Tier 1 logic and 1 HBM DRAM customer Annealing + Reached agreement to ship LSA system to 2" HBM ~$600M ~$850M (LSA) customer in 2025 Nanosecond * 2 evaluation systems at Tier 1 logic customers NEW) Annealing * St
Slide 11: Nanosecond Annealing Opportunity
Nanosecond Annealing Opportunity NSA « (nanosecond) — —— ; ~~ Traditional LSA Lamp Based * Scaling challenges driving the need for new annealing capabilities {sub millisecond) (sub second) ¢ NSA broadening Laser Annealing adoption to new leading-edge Logic and Memory applications 3) = 2 3 2 - = o =
Slide 12: IBD300 - 300mm Front End Semi Opportunity
IBD300- 300mm Front End Semi Opportunity ILLUSTRATION OF GRAIN SIZE AND DISTRIBUTION TODAY FUTURE Incumbent Technology IBD : ¢ Industry leader in lon Beam Technology « Lower resistance metals essential for customer scaling and have direct impact on device performance, speed, => and battery life ¢ IB
Slide 13: Technologies for Artificial Intelligence
RR <Veec@® Technologies for Artificial Intelligence GPU ? High-Bandwidth Memory (HBM) DRAM Advanced Packaging Current PTOR Current PTOR Current PTOR + Laser-Spike Annealing (LSA) + Laser-Spike Annealing (LSA) @ ° Wet Processing for micro-bump flux * IBD for EUV mask blanks + IBD for EUV mask blanks
Slide 14: Semi Evaluations Capture Industry Inflections
RR Semi Evaluations Capture Industry Inflections Forecasted Revenue Tier 1 Tools at Per Application Win System Customer Customer 100K wspm* Logic 1 $40-50M LSA Memory 0 $40-50M Logic 2 $50-60M NSA Memory (e) $40-SOM Logic 0 $50-60M IBD300 Memory 2 $30-40M *Evaluations typically compete to win severa
Slide 15: Compound Semiconductor Projected SAM Growth
Compound Semiconductor Projected SAM Growth Total SAM Key Growth Drivers 2025 2029 GaN Power ~$100M ~$300M Photonics ~$150M ~$400M 2025 =GaN Photonics MRF& Other MService Growth opportunities in GaN Power & Photonics ns Veeco
Slide 16: Why Own Veeco?
Why owncveecm ? fia Enabling SAM Expansion Technologies For to Deliver @ Industry Outperformance & Inflections Investment Long-Term WFE Growth ; Sugiesy © Drive Long- Term Value
Slide 17: Financials
Financials Veeco
Slide 18: Revenue by End-Market
RR Revenue by End-Market $646M $666M 1 " 2021 2022 2023 @Semiconductor &CompoundSemiconductor M™®DataStorage © Scientific & Other $717M 2024 Amounts may not calculate precisely due to rounding.
Slide 19: Historical Financials (Non-GAAP)
Historical Financials (Non-caap) Revenue ($m) Gross Margin (%) ~800 717 ~48% 43% 44% 43% 42% 42% ; : i J | U lJ i l 2020 2021 #4492022 2023 2024 =~ Target 2020 «42021 2022 2023 202: Target Model Model Operating Income (%) Diluted EPS ($) ~20% 16% 15% 15% «= t6% 12% U ll [| 7 2020 2021 2022 2023 2024
Slide 20: Customers, Resource Alignment, Veeco Team & ESG
Customers, Resource Alignment, Veeco Team & ESG Veeco
Slide 21: Serving a Diverse Customer Base
Serving a Diverse Customer Base Compound Data Semiconductor Storage C = \ ‘4 \ Power Photonics Foundries Power Device MicroLED RF Filter & HDD OSATS IDMs Producers Fabs Amplifier Fabs Manufacturers Foam RF - Radio Frequency OSAT - Outsourced Semiconductor Assembly and Test «< ay Cel *)) IDM - Integr
Slide 22: Resources Aligned for Growth
Resources Aligned for Growth Strategic Optimization of our R&D Spending Portfolio R&D Applied to Semiconductor * Increasing investments in customer facing infrastructure o Semi experienced leaders o Service logistics © Quality team * Investing ahead of revenue o Supporting evaluation systems © Train
Slide 23: Strong Management with Deep Semi Experience
Strong Management with Deep Semi Experience farvelergeta ces Bill Miller Susan Wilkerson Peter Porshnev Jean-Charles Bossert CEO Global Customer Engineering Global Operations Operations John Kiernan Adrian Devasahayam Robert Product Organization Bradshaw CAO Veecp
Slide 24: Sustainability Goals: Commitment to Corporate Responsibility
Sustainability Goals: Commitment to Corporate Responsibility . “Making a material difference as a Environment sustainable and transparent company + Renewable Energy is at the core of the Veeco United team” * Emissions Reduction * Hazardous Chemical Management Governance « Expand ESG Reporting and Al
Slide 25: Backup and Financial Tables
Backup and Financial Tables Veeca
Slide 26: Q2 Revenue by Market & Region
Q2 Revenue by Market & Region Revenue by Market Revenue by Region Scientific ROW is & Other negligible Compound Semiconductor Data a=. =~ BS $ 166M 59% States 13% Semiconductor Revenue Trend ($M) Q224 Q125 Q225 Revenue Trend ($M) Q2 24 Q125 Q225 Semiconductor 110 124 124 APAC 44 60 98 Compound Semi
Slide 27: Q2 Results
Q2 ———— Results Revenue $167.3 $ Non-GAAP Non-GAAP Q2 25 In millions Guidance (except per share amounts) (as of May 7", 2025) Gross Profit 69.8 j Gross Margin 41.7% | d Operating Expenses 45.5 Operating Income 24.3 Net Income 22.2 Pie 37M -$20M Diluted Earnings Per Share o37 (Eom $0.12 -$0.32 Dilute
Slide 28: Balance Sheet and Cash Flow Highlights
Balance Sheet and Cash Flow Highlights somes Cash & Short-Term Investments Accounts Receivable Inventories Accounts Payable Long-Term Debt Cash Flow from Operations Capital Expenditures DSO (days) DIO (days) DPO (days) \ Ve C = G C (9) Amounts may not calculate precisely due to rounding. A reconcili
Slide 29: Q3 2025 Guidance
AR Q3 2025 Guidance GAAP Non-GAAP Revenue $150M-$170M $150M - $170M Gross Margin 39% - 41% 40% - 42% Operating Expenses $57M - $58M $48M - $49M Net Income $3M - $13M $12M - $21M Diluted Earnings Per Share $0.04 - $0.22 $0.20 - $0.35 7 Ae ral Ge C i) Areconciliation of GAAP to Non-GAAP financial meas
Slide 30: Historical Revenue by End-Market
Historical Revenue by End-Market $M Semi Compound Semi Data Storage Scientific & Other Total ai 77.6 37.1 21.6 20.1 156.4 2022 as os SER or 100.4 93.8 3694 93.1 281 249 m2 21.2 2h | ABT 75 21.5 157 184 co 17.7 171.9 153.8 6461 153.5 Amounts may not calculate precisely due to rounding. 2023 Q2 Q3 106
Slide 31: Convertible Notes — Outstanding
Convertible Notes — Outstanding As of June 30, 2025 Principal Carryin a Annual Non ae Convertible Notes A P nyeg Coupon Cash - Conversion mount Value Cash Interest ‘ Interest Price Convertible Notes Due June 2029 230M 225M 2.875% 6.6M 1.1M 29.22
Slide 32: Effect of Convertible Notes on Diluted EPS
Effect of Convertible Notes on Diluted EPS (Effective Q2 2025) 2029 Convertible Notes (GAAP and Non-GAAP)* Incremental Average Stock Dilutive Price per Shares (in Common Share thousands) $29.00 - $30.00 205 $31.00 452 $32.00 684 $33.00 902 $34.00 1,106 $35.00 1,300 $36.00 1,482 $37.00 1,655 $38.00 1
Slide 33: Note on Reconciliation Tables
Note on Reconciliation Tables These tables include financial measures adjusted for the impact of certain items; these financial measures are therefore not calculated in accordance with U.S. generally accepted accounting principles (“GAAP”). These Non- GAAP financial measures exclude items such as: s
Slide 34: Supplemental Information—GAAP to Non-GAAP Reconciliation
Supplemental Information—GAAP t $ millions 2024 Not aaa $7373 CAMP grees promt 306.0 GAAP grees margin anes ada: @nare-teses comp e3 Ada: Ctner 02 Non-GAAP grees profit 3104 Non-GAAP grees margin 34% tn millions 2024 GAA Netineeme ie s737 Ads. Sheeeaies cove 59 Aga, Amarieatan Ass: Asset imegirmant
Slide 35: Supplemental Information—GAAP to Non-GAAP Reconciliation
Supplemental Information—GAAP to Non-GAAP Reconciliation $ millions Q125 Q225 $ millions, except per share amounts Q125 Q225 Net sales $167.3 $166.1 GAAP Basic weighted average shares 578 50.1 GAAP gross profit 68.5 68.7 GAAP Diluted weighted average shares 60.2 60.2 GAAP gross margin 40.9% 41.4% GA
Slide 36: Q2 2025 Actual: GAAP to Non-GAAP Reconciliation
Q2 2025 Actual: GAAP to Non-GAAP Reconciliation $ millions Non-GAAP Adjustments Share-Based GAAP Compensation Amortization Other Non-GAAP Net Sales $166.1 $166.1 Gross Profit 68.7 20 - _- 70.7 Gross Margin 41.4% 42.6% Operating Expenses $56.4 (7.7) (0.8) (0.3) $47.6 Operating Income $12.4 97 08 03 $
Slide 37: Q3 2025 Guidance
A Q3 2025 Guidance (S millions, except per share amounts} Reconciliation of GAAP to non-GAAP Financial Data Non-GAAP Adjustments Share-Based GAAP Compensation Amortization Other Non-GAAP. Net Sales $150-$170 $150-$170 Gross Profit 59-70 2 _- _- 61-72 Gross Margin 39%-41% 40%-42% Operating Expenses $