Atomera Incorporated · NASDAQ:ATOM

Atomera — Investor Presentation (November 2018)

16 slides from Atomera's investor presentation, November 2018

  1. Slide 1: Investor Presentation November 2018

    Investor Presentation November 2018

  2. Slide 2: Safe Harbor

    Safe Harbor This presentation contains forward-looking statements concerning Atomera Incorporated (““Atomera,” the “Company,” “we,” “us,” and “our”). The words “believe,” “may,” “will,” “potentially,” “estimate,” “continue,” “anticipate,” “intend,” “could,” “would,” “project,” “plan,” “expect” and s

  3. Slide 3: Investment Overview

    Investment Overview • Mears Silicon Technology (MST®) is a thin film used to enhance semiconductors • Results in higher performance, lower power, and lower costs for ICs • Capital-light IP licensing business • Robust and growing patent portfolio • Engaged with 50% of world’s top semiconductor makers

  4. Slide 4: Extending Moore's Law at every node

    Extending Moore’s Law at every node The skyrocketing cost of new nodes MST: A cost effective solution to semiconductor’s biggest problem FinFET • MST can deliver a half to a full node of improvements 8 8 • Performance strengthened at any process node 7 7 • Continues driving down the cost per transis

  5. Slide 5: MST Technology

    MST Technology Potential Benefits • Improved Efficiency • Higher transistor performance • Lower power consumption • Better reliability • Lower cost • Reduced die size • Improved yield • Higher throughput • Same benefits as a node shrink 5

  6. Slide 6: Patent Portfolio

    Patent Portfolio Comprehensive Discoverable 184 Patents Granted and Pending 67 29 US Patents Foreign 60 Pending These distinctive layers are visible 31 on products using MST 57 US Foreign Patents Extensive know-how Extends life and value of patents Core MST Method and Device MST Enabled Devices/Arch

  7. Slide 7: Semiconductor Ecosystem

    Semiconductor Ecosystem Integrated Device Manufacturers Foundry Fabless Tool Suppliers 7

  8. Slide 8: Market Segment Strategy

    Market Segment Strategy Leading Analog Mainstream Leading Planar 3D Analog, PMIC, RF IoT, RF, Automotive DRAM; Digital Processors FinFET, Nanowire Key Players: TSMC, TI, NXP, ST Key Players: TSMC, UMC, Key Players: TSMC, GF, Key Players: Intel, TSMC, Micro SMIC, Global Foundries Samsung, Hynix, Micr

  9. Slide 9: Significant TAM

    Significant TAM Company Type Segment Capacity1 % of Total Samsung Semiconductor IDM Memory 31,185,000 14.6% TSMC Foundry Logic 24,147,804 11.3% • $7.0 billion total addressable market Micron Technology IDM Memory 18,486,000 8.7% SK Hynix Foundry Memory 18,360,000 8.6% • at 2% royalty per wafer selli

  10. Slide 10: ST Micro & AKM Commercial Licenses

    ST Micro & AKM Commercial Licenses • Atomera Licenses MST to Asahi Kasei Microdevices (AKM) – Sept 25, 2018 • Japanese manufacturer of high end ICs for consumer, automotive and industrial • Division of Asahi Kasei Chemical Group • Long time partner of Atomera • First commercial licensee of Atomera’s

  11. Slide 11: Customer Engagement & Revenue Model

    Customer Engagement & Revenue Model v Customer Wafer Manufacturing Atomera MST® Deposition Customer MST® Deposition 1. Planning 2. Setup 3. Integration 4. Installation 5. Qualification 6. Production Phase Engineering Integration Manufacturing Distribution Revenue Type Royalties Services License Lice

  12. Slide 12: Growing Customer Pipeline

    Growing Customer Pipeline Number of Customer Engagements 21 18 15 12 9 6 3 0 IPO 3Q 16 4Q 16 1Q 17 2Q 17 3Q 17 4Q 17 1Q 18 2Q 18 3Q 18 Phase 1 Phase 2 Phase 3 • 16 customers, 20 engagements • Working with 50% of the world’s top semiconductor makers* 12 * 10 of the top 20 (IC Insights, McClean Report

  13. Slide 13: Financial Overview and Capitalization

    Financial Overview and Capitalization Balance Sheet Non-GAAP P&L* (in thousands) Q3 2018 Q2 2018 Q1 2018 Q3 2018 Q2 2018 Q1 2018 Current assets Cash and cash equivalents 9,957 12,254 14,547 Revenue ̶ 96 ̶ Accounts receivable 75 96 ̶ Cost of goods sold ̶ 113 ̶ Prepaids and other current assets 227 29

  14. Slide 14: Summary

    Summary  Signed first two customer licenses with AKM and STMicroelectronics  High margin, recurring revenue financial model  Solid cash position  Strong technology and patent position  Ramping commercial license revenues 14

  15. Slide 15: Thank You

    os e atomera Thank You

  16. Slide 16: Financial Overview and Capitalization

    Financial Overview and Capitalization Reconciliation of Non-GAAP to GAAP P&L* Q3 2018 Q2 2018 Q1 2018 Adjusted EBITDA (Non-GAAP) (2,845) (2,592) (2,586) Add (subtract) the following items Interest income 48 50 47 Depreciation and amortization (8) (8) (8) Stock-based compensation (630) (621) (545) Ne

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