Ams-osram Ag · SIX:AMS
Ams-osram — Q1 2024 Earnings Presentation
18 slides from Ams-osram's earnings presentation, Apr 26, 2024
Slide 1: First Quarter 2024 Results Earnings Call
Sense the power of light First Quarter 2024 Results Earnings Call Aldo Kamper, CEO Rainer Irle, CFO Dr Juergen Rebel, SVP Investor Relations 26 April 2024
Slide 2: Group revenues with year-on-year growth on a like-for-like basis
Group revenues with year-on-year growth on a like-for-like basis All figures in EURm / % of revenues Total revenues EBIT, EBIT margin (adj.)2) EBITDA, EBITDA margin (adj.)2)3) ø EUR/USD 1.07 1.09 1.09 1.08 1.09 17.7% 16.8% 16.5% +5% YoY 16.3% 6.9% -9% 5.4% 5.9% 7.9% 5.2% like-for-like1) 14.6% -7% -1
Slide 3: Lamps & Systems: seasonally strong Q4, continued weakness in industrial
Lamps & Systems: seasonally strong Q4, continued weakness in industrial All figures in EURm / % of revenues Total revenues EBIT, EBIT margin (adj.)2) EBITDA, EBITDA margin (adj.)2) -32% ~flat YoY -11% like-for-like1) 19.1% 22.5% 380 17.1% 14.6% 13.7% 110 -4% 11.9% 256 251 1 +55% 12 12 60 270 279 68
Slide 4: Semiconductors – increasing transparency by now reporting in two segments
Semiconductors – increasing transparency by now reporting in two segments All figures in EURm / % of revenues Optical Semiconductors (OS) segment CMOS Sensors and ASICs (CSA) segment 19.3% 345 233 2.2% 67 55 Revenues EBITDA (adj.)1) Revenues EBITDA (adj.)1) EBITDA: EBITDA: − Lower capitalization of
Slide 5: Semis/Q1: auto and consumer with strong yoy growth, I&M in inventory correction
Semis/Q1: auto and consumer with strong yoy growth, I&M in inventory correction Semiconductors, figures in EURm Total Semi Rev. Semi AM Rev. Semi I&M Rev. Semi Consumer Rev. +13% +5% +15% -9% -11% -8% -12% -6% 260 279 648 629 238 253 547 600 578 225 187 202 186 175 177 175 174 170 155 147 Q1/23 Q2/2
Slide 6: Q1/24 design-win examples
Q1/24 design-win examples Continuous strong traction with key products across all core verticals EVIYOS high-pixelated Now >350 m€ LTV* design forward lighting wins to date Medical CT scanning sensor 100 m€ LTV* design win Horticulture, new benchmark product 75 m€ LTV* design win Spectral light sens
Slide 7: TrendForce: LED Market growing with 6.8% CAGR until 2028
TrendForce: LED Market growing with 6.8% CAGR until 2028 Automotive poised to become largest segment in the LED market by 2026 USD bn 16.89 0.26 Agricultural Lighting 0.57 Architectural Lighting +6.8% 15.64 0.58 Micro LED Self-Emitting Display 0.26 − Automotive LED market 14.53 0.55 0.59 Mini LED Se
Slide 8: Update on microLED strategy
Update on microLED strategy Significant EBIT and Cash Flow improvements in 2025 Restructuring of microLED development Exit of 8” Kulim – Sale-and-Lease-Back (SLB) − Substantial restructuring of microLED related organizations − Target option: transfer of new, 8” state-of-the-art facility to initiated
Slide 9: Underlying growth outlook in core semi-conductor business fully intact
Underlying growth outlook in core semi-conductor business fully intact Mid-point of target growth model from core-business base changes to 6% to 8% CAGR (Ad-Hoc 2024-Feb-28) Before: Key growth contributors until 2026 are unchanged: − Automotive (largest): BoM growth, design-wins − Mobile light senso
Slide 10: Re-establish-the-Base
Re-establish-the-Base Update of exit of non-core semiconductor portfolio (BU CSA) CMOS Imaging Sensors − Restructuring CMOS Imaging Sensor business for profitability − Two sites affected (restructuring one site, closure of another US development site) − Restructuring of development activities for fu
Slide 11: Strong available liquidity and balanced maturity profile with diversified funding mix
Strong available liquidity and balanced maturity profile with diversified funding mix Current capitalization Current debt maturity profile €m, IFRS values as of March 2024 €m, IFRS values as of December 2023 March 2024 IFRS book values EUR million €m, repayment amounts as of March 2024 Cash (1,076)
Slide 12: Revised microLED strategy leads to strengthened free cash flow & adj. EBIT
Revised microLED strategy leads to strengthened free cash flow & adj. EBIT Cancellation of microLED cornerstone project leads to acceleration of adj. EBIT and cash flow improvements in 2025 Cash Flow* Adj. EBIT* 2024 2024 2025 adj. EBIT capitalization funding gross cost adj. EBIT savings >100 m€ 202
Slide 13: Operating cash flow and FCF now includes net interest paid; CAPEX reduced
Operating cash flow and FCF now includes net interest paid; CAPEX reduced All figures in EURm / % of revenues Operating Cash Flow Cash Flow related to Capex Inflows from Divestments Free Cash Flow (FCF)1) (including net interest paid)* incl. divestments, incl. net interest paid 13% 24% 22% 9% 6% Q1/
Slide 14: Group: microLED cancellation impacting adj. R&D
Group: microLED cancellation impacting adj. R&D All figures in EURm / % of revenues Gross profit (adj.)1) R&D expenses (adj.)1) SG&A expenses (adj.)1) OPEX (adj.)1) 29% 28% 29% 29% 28% 12% 12% 13% 13% 11% 11% 13% 11% 11% 10% -13% -11% -1% -20% -7% -0.5% +24% -21% 272 222 263 260 241 115 105 114 116
Slide 15: Adj. net result / Adj. EPS impacted by re-financing
Adj. net result / Adj. EPS impacted by re-financing All figures in EURm / EUR per share Net results (adj.)1) EPS diluted (adj.)1) CHF 0.02 0.12 0.10 -0.03 -0.03 Net financing result (adj.)1) Q1/23 Q2/23 Q3/23 Q4/23 Q1/24 31 29 - 25 Q4/23 Q1/24 0.12 0.11 - 32 - 34 6 Q1/23 Q2/23 Q3/23 - 16 0.02 Q4/23
Slide 16: Business outlook
Business outlook Q2 2024 Guidance 2024 comments − Revenue EUR 770m- 870m − Divesting/exiting of remaining part of non-core semiconductor portfolio − Adj. EBITDA 14% - 17% − H1/24 with continued macro weakness, H2/24 improving (ramp of design-wins and expected partial, slight market recovery) − Based
Slide 17: Summary Q1
Summary Q1 Summary Q1/24: − Solid Q1 revenue and adj. EBIT performance − Year-on-year structural growth on like-for-like basis − Continued design-win momentum in core business − Strong cash position and liquidity − Implementation of ‘Re-establish-the-Base’ continuing MicroLED strategy update: − Subs
Slide 18: Q&A
Q&A Aldo Rainer Dr. Jürgen Kamper Irle Rebel CEO CFO Head of IR 18