X-fab Silicon Foundries Se · EURONEXT:XFAB
X-fab Silicon Foundries — Investor Day (2023)
21 slides from X-fab Silicon Foundries's investor day presentation, Jun 8, 2023
Slide 1: The X-FAB journey – achievements and the way forward
The X-FAB journey – achievements and the way forward Rudi De Winter, CEO
Slide 2: We delivered on our commitments
We delivered on our commitments
Slide 3: Our 2021 commitments…
Our 2021 commitments… X-FAB Investor Day 2021: 3
Slide 4: … and where we are today: Automotive
… and where we are today Strengthen no. 1 position as AUTOMOTIVE specialty pure-play foundry Automotive revenue 140 120 CAGR past 4 years: +17% 100 80 in $m 60 40 20 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2019 2020 2021 2022 4
Slide 5: … and where we are today: Medical
… and where we are today We are making MEDICAL the next automotive Medical revenue 20 CAGR past 4 years: +27% 15 in $m 10 5 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2019 2020 2021 2022 5
Slide 6: … and where we are today: Industrial
… and where we are today Stay committed to the INDUSTRIAL market Industrial revenue 50 CAGR past 4 years: +18% 40 30 in $m 20 10 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2019 2020 2021 2022 6
Slide 7: … and where we are today: Silicon carbide
… and where we are today Continue to lead the SILICON CARBIDE foundry market SiC revenue 20 CAGR past 4 years: +30% 15 in m$ 10 ““XXX“ Customer XYZ 5 SiC wafer quantity CAGR past 4 years: +63% 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2019 2020 2021 2022 7
Slide 8: … and where we are today Q1 2023
… and where we are today Q1 2023 Revenue growth +16% total USD 208m 28% +28% core revenue EBITDA margin y-o-y 8
Slide 9: What has changed?
What has changed?
Slide 10: Strategic importance of semiconductors
Strategic importance of semiconductors Chip Shortage Importance of semiconductors for the global economy is universally acknowledged Reshoring & Funding activities Semiconductors are central to governments’ agendas Going local with EU Chips Act & US Chips Act Structural shortage of 200 mm capacity D
Slide 11: The transformation of X-FAB
The transformation of X-FAB Business mix Increased share of high-value add automotive, industrial and medical business to 89% of revenues (Q1 2023) Phase-out of CCC* legacy business How we do business Introduced long-term agreements with customers Paradigm shift in the pricing structure * CCC – Cons
Slide 12: Long-term agreements with customers
Long-term agreements with customers What is the portion of our business signed up under LTA? CMOS 200mm SiC › 2023-2025 › 2023-2027 › Take or pay › Take or pay › 15% prepayment › 75% participation in capacity › 70% of capacity expansion in the form of prepayment › Top 10 customers › 3 LTAs completed
Slide 13: The way forward
The way forward
Slide 14: Semiconductors are key to resolving the challenges of our time
Semiconductors are key to resolving the challenges of our time › Enabling the development of sustainable and energy-efficient products across all sectors › Drives strong growth in X-FAB’s key end markets in the long term – automotive, industrial and medical Climate change Growing & aging populations
Slide 15: X-FAB is perfectly positioned
X-FAB is perfectly positioned Strong semiconductor market growth Favorable business mix going forward CAGR 2021-2030 1.000 Q1 2023 Automotive 13-15% 800 Industrial 8-10% Automotive 58% 600 Computing 4-6% Industrial 23% in $bn 400 Wired communication 4-6% 200 Wireless communication 4-6% CCC Medical C
Slide 16: Strong prototyping pipeline
Strong prototyping pipeline Prototyping revenue as indicator for future growth and business mix 30 IP sale* › Next generation automotive 25 NRE Revenue technology on 110nm underway Moving 4Q average 20 › 250 prototypes per quarter, each representing new future business in $m 15 › Valuing X-FAB’s tec
Slide 17: Building the right capacity to support growth
Building the right capacity to support growth Major investment program to expand capacity across all sites Itzehoe, Germany Dresden, Germany Lubbock, USA Kuching, Malaysia Erfurt, Germany Expansion capex Corbeil-Essonnes, France USD 1bn 2023-2025 17
Slide 18: The building blocks for success
The building blocks for success Visibility Unique Addressing supported by technology high-growth prototyping portfolio end markets pipeline and LTAs Structurally Diversified Natural Large scale strong and sticky hedging expansion to demand in customer removed FX support the long term base volatility
Slide 19: The way forward
The way forward X-FAB – sustainable growth and business success by providing much sought-after specialty technologies in high-growth end markets USD 1.5bn 30-35% revenue EBITDA by 2026 margin 19
Slide 20: Responsible growth – ESG at X-FAB
Responsible growth – ESG at X-FAB Drive technological innovation to support Promote diversity and inclusion within the sustainability goals for climate action and workplace to ensure equal opportunities for health and well-being. all employees. Reduce carbon footprint, normalized to Lower water cons
Slide 21: Thank you.
Thank you. @) ®) @ @ @ xfab.com